Accelerated Cost Recovery System

A schedule of depreciation rates allowed for tax purposes introduced by the Economic Recovery Tax Act of 1981. The Modified ACRS (MACRS) replaced ACRS for property placed into service after 1986.

Abusive Tax Shelter

A limited partnership deemed by the IRS to be illegally claiming tax deductions.

Abatement

A reduction or reprieve in the amount of taxation, debt or any other payment obligation faced by an individual or company. Abatement can include a tax decrease, a reduction in penalties, or a rebate.