### Question
What is the definition of liquid assets?


### Answer
The definition of **liquid assets** is as follows in *26 U.S.C. § 995*:

> money, bank deposits (not including time deposits), and indebtedness of 2 years or less to maturity on the date of acquisition

#### Citation:
  - *26 U.S.C. § 995*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter N-Tax Based on Income From Sources Within or Without the United States > PART IV-DOMESTIC INTERNATIONAL SALES CORPORATIONS > Subpart B-Treatment of Distributions to Shareholders**

