| Term |
Definition |
| Warrant |
A certificate
authorizing the holder to buy a corporation's
stock at a specified price, either indefinitely
or within a certain time. Warrants are different
from rights in that they generally last longer,
and the price at which the holder is entitled to
buy the stock usually is more than the stock's
market price when the warrant was issued. |
| Wash Sale |
The purchase of
substantially similar stock or other securities
within 30 days before or after the sale of the
similar stock or security at a loss. A taxpayer
cannot claim a wash sale loss; instead, the loss
is added to the basis of the most recently
purchased substantially similar securities. |
| Welfare to Work
Credit |
A tax credit for
employers who hire workers off welfare rolls. |
| Widow |
A woman who has not
remarried following the death of her husband. |
| Widower |
A man who has not
remarried following the death of his wife. |
| Withholding of Tax at
Source |
The withholding of tax
by a payer prior to payment of various types of
income as required by the tax Code. The recipient
of the income claims the amount withheld as a tax
payment on his or her tax return. |
| Work Opportunity
Credit |
A credit available to
employers who hire employees from specified
disadvantaged groups. |
| Working Interest |
An operating interest in
oil and gas in place that is burdened with the
responsibility and cost of developing and
operating the property. |
| Worksheet |
A record of compiled
information that is generally not sent to the IRS
with a tax return. |
| Worthless Securities |
A loss is allowed for a
security that becomes worthless during the year.
The loss is deemed to have occurred on the last
day of the year. Special rules apply to
securities of affiliated companies and small
business stock. |
