income


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Related to income: income statement, net income

Income

The money a person makes from labor, investment, or any other source, especially in the course of a year. Receiving income is the goal of all commerce. It is usually taxed by the government. See also: Income tax.

income

money received by individuals, firms and other organizations in the form of WAGES, SALARIES, RENT, INTEREST, COMMISSIONS, FEES and PROFIT, together with grants, unemployment benefit, old age pensions, etc. See EARNED INCOME, DISTRIBUTION OF INCOME.

income

money received by individuals and firms in the form of WAGES, SALARIES, RENT, INTEREST, PROFIT, etc., together with unemployment benefit, old age pensions, etc. In microeconomic analysis, the term ‘income’ is used specifically to refer to the flow of returns over a period of time from providing FACTORS OF PRODUCTION (NATURAL RESOURCES, LABOUR and CAPITAL) in the form of rent, wages and interest/profit, respectively. In macroeconomic analysis, the term NATIONAL INCOME is used to refer to the aggregate income of a country from rents, wages, interest and payments, excluding TRANSFER PAYMENTS (unemployment benefit, old age pensions, etc.).

More generally, from the point of view of the individuals concerned, any money received counts as income (whether it be from providing factors of production or takes the form of an old age pension, unemployment benefit or other transfer payment). Any such FINAL INCOME is an important determinant of an individual's spending capabilities in the THEORY OF DEMAND. See CIRCULAR FLOW OF NATIONAL INCOME MODEL, DISPOSABLE INCOME, FUNCTIONAL DISTRIBUTION OF INCOME, PERSONAL DISTRIBUTION OF INCOME.

income

(1) For IRS purposes, income is never precisely defined, but it apparently includes all moneys received from any sources unless specifically excluded by some IRS Code provision. (2) In business, all the revenues derived from the business, less all expenses. Many people use the word income interchangeably with revenues,but revenue implies a gross figure without deductions,and income implies an amount after expenses.

Income

The word "income," in its broad sense, is the gain derived from capital, labor, or a combination of the two. It is distinguishable from the capital itself. Ordinarily, for income tax purposes, the word "income" is not used alone. Rather it is used within such descriptive terms as gross income, taxable income, and adjusted gross income, all of which are defined elsewhere in this glossary.
References in periodicals archive ?
Although the opportunity to lower taxes by transferring income-producing assets to children under 18 is curtailed by the kiddie tax, putting a child's funds in investments that produce little or no current taxable income can help avoid the tax; see RIA's Complete Analysis of the Tax Increase Prevention and Reconciliation Act of 2005, [paragraph] 204.
As always, the deduction for gifts of appreciated capital-gain property that will pass to public charities is limited to 30 percent of the donor's adjusted gross income in the year of the donation, with a five-year carryover period for any excess deduction.
While this is not entirely surprising given the current retirement landscape--seismic shift from defined benefit plans to defined contribution plans among employers, volatile capital markets, and growing attention on Social Security solvency and potential reform--the retirement income market today remains a largely untapped opportunity and an underserved need.
Consequently, although depreciation nominally is an expense for tax purposes, it did not actually reduce taxable income in this case.
* $5.2 million for a 193-unit project in Toronto, Medallion Property Incorporated for lower income senior citizens, families with children, and single persons.
Performance or merit increases accounted for 48.1% of the respondents' changes in income for 2002.
As Christopher Sarlo has pointed out, they include post-secondary students who live independently during the school year and whose loans and gifts do not count as income; senior citizens who own their homes mortgage-free and are supplementing low incomes with savings; people in transition (first-time workers, immigrants, the divorced and widowed, released prisoners, etc.), who may begin employment part-way through the year and therefore report a low annual wage; self-employed business people and farmers, whose reported incomes, but not necessarily their standard of living, may fall in some years, perhaps due to capital losses or other write-offs against earnings; some clergy and others who voluntarily accept a low income.
The following year, Congress passed, and Lincoln signed, a more carefully thought out income tax bill, which included the creation of a new agency to administer it.
It is not clear, however, whether an exemption would be available if the holding company's jurisdiction imposes an income tax but provides a participation exemption on the disposition of shares of controlled foreign corporations.
However, when income allocated from the limited partnership is effectively connected with a trade or business within the U.S., the income is taxed to the nonresident alien partner at the graduated U.S.
If Mary establishes an income trust to take control of the income she receives that is in excess of the Medicaid cutoff, she can qualify for Medicaid.