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Does "business income" mean "revenue" or "profit?"
ie do I deduct expenses and THEN put that number in my business income?
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June 5, 2019
12:05 PM
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Business & farm
Business income is the total of revenue earned PRIOR to deducting your business expenses.
Business Income - Business Expenses = Net Income
In Turbo Tax, you'd enter your total income and then your total expenses. The program will then calculate the Net Income for you.
You operate at a "profit" when your total business income exceeds your total business expenses. Conversely, you operate at a "loss" when your total business expenses exceed your total business income.
June 5, 2019
12:05 PM