oboloo Glossary

Ebitda Taxes

oboloo Glossary

Ebitda Taxes

Ebitda taxes, or Earnings Before Interest, Taxes, Depreciation and Amortization taxes, are taxes based on a company’s profits before any of these costs have been deducted. In other words, it is the amount of money that a company has available for taxation, after all necessary expenses have already been taken care of. This tax can be used as an indicator of a company’s financial health, as it is a more accurate representation of income than other measures such as revenue minus cost of goods sold. It is important to understand this concept in order to effectively manage your business and make sure you remain compliant with all relevant laws and regulations.