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ordinary expense (§ 162(a))

Defined in 1 dictionary — Case Law

Definitions from Case Law

From 403 U.S. 345 - Commissioner of Internal Revenue v. Lincoln Savings and Loan Association · 1971Most cited · 661 citing opinions

The principal function of the term 'ordinary' in § 162(a) is to clarify the distinction, often difficult, between those expenses that are currently deductible and those that are in the nature of capital expenditures, which, if deductible at all, must be amortized over the useful life of the asset.