Gross Income

(redirected from Before-Tax Income)
Also found in: Financial.

Gross Income

The financial gains received by an individual or a business during a fiscal year.

For Income Tax purposes, gross income includes any type of monetary benefit paid to an individual or business, whether it be earned as a result of personal services or business activities or produced by investments and capital assets. The valuation of gross income is the first step in computing whether any federal or state income tax is owed by the recipient.

gross income

n. in calculating income tax, the income of an individual or business from all sources before deducting allowable expenses, which will result in net income. (See: income tax)

References in periodicals archive ?
By contrast, the large market income losses of the second and third quintiles were reduced substantially with before-tax income losses reduced to 4 and 5 percent respectively.
One North Carolina server volunteered: "I made $60,000 in tips last year, reported $40,000--and had a before-tax income of $80,000
The official CE definition of before-tax income does not include lump-sum income, and the CE imputes only the components of before-tax income.
3) The CBO definition of before-tax income is composed of labor income, business income, capital gains, capita income (excluding capital gains), income received in retirement for past services and other sources of income.
A family is poor if its before-tax income is less than the threshold.
If we become obsessed with tax breaks for the rich and ignore everything else, the skewing of before-tax income will become so large that even the most redistributive taxes will still leave gross inequities.
Nearly one in five Americans under age 65 lived in families that spent more than 10% of before-tax income on insurance premiums and medical care in 2006 (the last year for which figures are available), up from one in seven Americans in 2001, the report says.
The think tank defines a high out-of-pocket burden for healthcare as spending more than 10% of before-tax income on insurance premiums and medical care.
If the business could be sold for $400,000, and the funds invested at 8 percent, the resulting before-tax income would be $32,000 per year, over three times that provided if the business were retained.
It also would increase GDP by nearly 10 percent and ultimately raise the before-tax income of average Americans by 10 percent.
13) These numbers are meant to be realistic: in 1998, a single taxpayer with before-tax income of $30,000 would have paid $6,124 in income tax if she had had only the basic personal amount credit and had paid provincial tax equal to half of basic federal tax.
So, as an example, a family of four living in a large Canadian city with a before-tax income of less than $37,253 in 2003 would have been living below the poverty line.