When a taxpayer reports income when received,this is called the ________ method.

Question

Quizplus · Accepted Answer

The cash receipts and disbursements method is used to report income when it is actually received, rather than using the accrual basis of accounting which recognizes income when it is earned but not necessarily received. The deferred method involves delaying recognition of income to a future period. Income tax progressive is a term used to describe a tax system in which individuals with higher incomes are subject to higher tax rates.

When a Taxpayer Reports Income When Received,this Is Called the ________