Income Tax

What income is subject to tax?

When it comes to income and taxes, all income is subject to tax. Income translates to gross income and ‘gross income means all income from whatever source derived.’ Gross income includes items such as compensation for services (wages, fees, commissions, etc.), income from business, alimony received and separate maintenance payments, interest earned, rents, and royalties. Even income derived from illegal activities is subject to tax.