How to Calculate Gross Income for Taxes

Video Transcript

"The tax season has arrived, and you will want to know how to calculate gross income for tax purposes. My name is Faye Jones. Gross income is any form of income including rents, royalties, received in any format including check, cash, credit card, any form of income, received in any format. And the same applies to individuals. It's any form of compensation or earnings that you received. For businesses gross income is total earnings or revenues minus cost of goods sold. To give you your gross income, and for individual it's all income earned, for the purpose of reporting on your income tax return. Again, in order to calculate your gross income you need to take into consideration every form of income you receive from services rendered. I'm Faye Jones, this is a brief discussion of how you calculate gross income. Thank you."