constructive receipt

Definition

According to the IRS, the date when a taxpayer received income, such as a dividend payment, interpreted as the first date the taxpayer has the right to claim it, whether or not that claim was actually exercised.

Use this term in a sentence

You should always remember the day of the constructive receipt so that you can file it according to that day.

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The constructive receipt occurred on the 15th of august however the individual claims to have never actually received the money.

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We had to double check when the constructive receipt would be taken into account, as it might affect our expectations regarding our taxes for the year.

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constructive ownership receipt