Taxable income is the money you or your organisation makes that is ok to be taxed. For example, if you work as an employee selling ice cream , the money your boss pays you for doing your job is taxable income. That means it’s income that’s taxable… so it’s income that the tax man can get a portion of. What’s an example of income that’s not taxable? If you made biscuits and friends wanted to order customised biscuits but you weren’t operating a business, but rather doing it as a hobby, then it’s likely that income would not be taxable income.
Next: About the Accounting Concepts category