Question

In: Accounting

____ is the base used to calculate income tax. a. taxable income b. gross income c....

____ is the base used to calculate income tax.
a. taxable income
b. gross income
c. adjusted gross income
d. economic income

Solutions

Expert Solution

Taxable income is used for computation of Income Tax.

Income tax rates are based on taxable income and not gross income.

Gross income is income before any deductions. Adjusted gross income is income caluclated after adjusting gross income.

Hence answer is Option A)

ekkarill92 answered 2 years ago
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