Calendar year

Calendar year is a term used to represent a period of one year that begins on January 1 and ends on December 31, based on the commonly used Gregorian calendar. The term is used often in financial and legal contexts to differentiate it from a fiscal year, which may not align with the calendar year.

Definition

A calendar year is defined as a one-year period that begins on January 1 and ends on December 31. It is based on the Gregorian calendar, which is currently the most widely used civil calendar. The Gregorian calendar was introduced by Pope Gregory XIII in 1582 as a modification of the Julian calendar.

Use in various fields

Finance

In finance, a calendar year is used as a one-year reporting period for financial statements. Some companies, however, use a fiscal year for their financial reporting, which may not align with the calendar year.

Law

In legal contexts, a calendar year is often used to calculate periods of time that are specified in terms of years. For example, a law might require that a certain action be taken within one year from a particular date. Unless the law specifies otherwise, this usually means one calendar year.

Astronomy

In astronomy, a calendar year is different from a tropical year, which is the time it takes for the Sun to return to the same position in the cycle of seasons.

See also

• Fiscal year
• Gregorian calendar
• Julian calendar
• Tropical year