Glossary terms for letter F (Businesses)

• Fair market value (FMV)
• Fiscal period

Fair market value (FMV) - Generally the highest dollar value that you can get for your property in an open and unrestricted market between an informed and willing buyer and an informed and willing seller who are dealing at arm's length with each other.

Fiscal period - This is the twelve-month period over which a business or profession reports its income-earning activities. The fiscal period may or may not coincide with the calendar year. The business usually establishes its fiscal period when it files its first income tax return