Tab (Tax Amortisation Benefit Factor) Calculator




The Tax Amortisation Benefit Factor, commonly referred to as TAB, is a vital financial metric used in tax planning and analysis. It helps businesses and individuals calculate the tax benefits they can obtain from amortising certain expenditures over time. This calculator simplifies the TAB calculation process, making it easier for users to determine the tax advantages associated with amortising expenses.


The formula for calculating the Tax Amortisation Benefit Factor (TAB) is as follows:


  • TAB is the Tax Amortisation Benefit Factor.
  • T represents the total tax deductions for the amortised expenses.
  • A stands for the total amortised expenses.

How to use?

Using the TAB Calculator is straightforward. Follow these steps:

  1. Input the total tax deductions (T): Enter the total amount of tax deductions you anticipate receiving for amortised expenses.
  2. Input the total amortised expenses (A): Enter the total amount of expenses you plan to amortise.

Example: Let’s say a business has $50,000 in total tax deductions (T) for amortised expenses and $100,000 in total amortised expenses (A). Using the formula, the TAB can be calculated as follows:

In this example, the Tax Amortisation Benefit Factor (TAB) is 0.5.


  1. What are amortised expenses? Amortised expenses are costs that are incurred over a period of time and are spread out for accounting and tax purposes. Examples include intangible assets like patents or trademarks.
  2. How can TAB benefit my business? TAB helps businesses calculate the tax savings they can achieve by spreading out certain expenses over time. This can lead to lower taxable income and reduced tax liability.
  3. Is TAB applicable to individuals? Yes, individuals can also use TAB to calculate tax benefits related to amortised expenses, such as mortgage interest or loan origination fees.


The Tax Amortisation Benefit Factor (TAB) Calculator simplifies a crucial aspect of tax planning and analysis. By determining the tax benefits associated with amortising expenses, businesses and individuals can make informed financial decisions that optimize their tax liability. This tool streamlines the TAB calculation process, making it accessible to a wide range of users.

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