Top executives often walk away with large lump-sum cash payments, a package of retirement benefits and tax "gross-ups" to cover their IRS obligations. Some can even stay eligible for perks like private use of the corporate jet.
2007-03-02 14:31:49 · 1 answers · asked by Anonymous in Business & Finance ➔ Corporations
A tax gross up means the company has increased their pay, bonus, or any other taxable income so the executive doesn't actually pay his own (estimated) tax. If they are told they are getting a million dollar bonus, the tax gross up means they actually get a check for $1 million after taxes. It has nothing to do with tax shelters.
2007-03-02 14:49:21 · answer #1 · answered by Brian G 6 · 0⤊ 0⤋
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What does "tax gross-up" mean in?
Top executives often walk away with large lump-sum cash payments, a package of retirement benefits and tax "gross-ups" to cover their IRS obligations. Some can even stay eligible for perks like private use of the corporate jet.
2015-08-24 06:05:31 · answer #2 · answered by Kylee 1 · 0⤊ 0⤋
"Tax gross" up simply means that the top executives have tax shelters that allow them to receive some of their tax money back. These tax shelters are usually very risky, but the IRS is obliged to refund some of their money. So..tax gross up is for rich people who want some of their taxes back.
2007-03-02 14:40:24 · answer #3 · answered by Starstruck in LovE 2 · 1⤊ 1⤋
Gross Up Definition
2016-11-10 20:23:11 · answer #4 · answered by ? 4 · 0⤊ 0⤋
If it is a job offer, 35K usually means gross income, unless the employer could already figure out how much taxes you're supposed to pay.
2016-03-19 00:07:01 · answer #5 · answered by Anonymous · 0⤊ 0⤋