The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

MATERIAL PARTICIPATION TEST Definition & Legal Meaning

Law dictionary entry - legal definition of embargo

Definition & Citations:

A taxpayer is identified as a material participant in a business by this specific type of criteria. Income received by the taxpayer from that business will be identified as active or passive based on this determination. The taxpayer will be identified as materially participating in the business if the taxpayer participates in business activities on a regular basis.

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