Home > Terms > English, UK (UE) > Allowance for doubtful accounts
Allowance for doubtful accounts
An offset, or contra account, to accounts receivable to reflect the estimated collection losses on outstanding accounts receivable The allowance reduces revenue Such an allowance is generally not allowed for tax purposes Also known as an allowance for bad debts and allowance for uncollectible accounts
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- Part of Speech: noun
- Synonym(s):
- Blossary:
- Industry/Domain: Accounting
- Category: Tax
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