Gross income

between an income statement and Balance sheet Each of the financial statements is on separate sheets for the annual financial report, here is a quick explanation how they working from the top to the bottom. Here is a summary which explains the lines, looking at the top and going down:  Sales acquiring expense for sales it requires businesses to maintain working balance.  To make…

expected figures for the income statement. These calculations will assist in determining any misstated amounts in the financial statements. Analytical procedures are “evaluations of financial information through analysis of plausible relationships among…

Investment Income Tax The Net Investment Income Tax, also known as the Medicare Contribution Tax, is a 3.8% tax on net investment income of individuals, estates, and trusts further detailed in Code Section 1411 of the Internal Revenue Code. Taxpayers subject to the 3.8% surtax must pay this tax in addition to the Medicare tax on earned income. Individuals who are nonresident aliens, dual-resident, or dual status are not subject to the Net Investment Income Tax. Origin The Net Investment…

were directly paid to the attorney. William filed taxes for the $3 million that he received, but did not include the attorney fees. The IRS audited William and asserted that the other $1.5 million awarded should have been included in William’s gross income and the attorney fees should have been expensed as miscellaneous itemized deduction and subject to the 2% floor. William challenged the IRS’s assertion and brought the issue to his attorney. The attorney believes that, due to the circumstances…

Before getting into the case, there is an important statement made in the headnote. It states the definition of income; which is the compensation for services-distinguished from gift-retirement or resignation-relationship of specific services. Whether that income is taxable is left for question. The case is concerning the provision of the Internal Revenue Code, that excludes from gross income the value acquired by a gift. The facts of the case are as follows. Duberstein was the head of the…

Line” The income statement shows how much revenue a company earned over a defined period (typically a year or a quarter), plus the costs and expenses related to generating that revenue. The “Bottom Line” demonstrates net earnings or losses over the period. Income statements also show earnings per share (EPS). EPS shows how much money shareholders would receive if all of the net earnings for the period were distributed. (A highly unlikely occurrence; they’re usually reinvested.) Income…

both being mixed economies. The differences of these two nations are quite large, with great variations in Gross Domestic Products and Human Development Indices. Economic Growth Rate is a quantitative measure of an economy’s increase in Gross Domestic Product (GDP) over time. Bangladesh’s real GDP growth rate was 5.8% in 2013, much higher than Australia’s growth rate of 2.5% in 2013. Gross Domestic Product Purchasing Power Parity (GDP PPP) measures the sum value of all the goods and services…

improving the quality of human resources. Along these lines education helps improve productivity and the ability to earn higher wages. By doing so education helps improve income in society and overall makes society better off. There is numerous literature that supports the theory that increases in national income and per capita income is a function of education and is one of the primary difference better between countries rather than physical capital. Nigeria has invested in education…

such payment will not be included in the gross income of the person for the purpose of taxation. From the perspective of taxation any contribution made to a qualified tuition program shall be treated as a completed gift. When a distribution is made under a qualified tuition program, it shall be includible in the gross income of the distribute. For example, if money is paid from a program to an educational institution, it has to be reported in the gross income institution. If a person has an…

in per capita real gross domestic product measured by its rate of change per year” (Miller, R.) It is a term “associated with economic progress and advancement” (5 Factors that Affect the Economic Growth of a Country.). Economic growth is the percentage of gross national product…