TAX 3300 Chapter Notes - Chapter 4: Financial Statement, Community Property, Gross Income
Document Summary
Except as otherwise provided in this subtitle, gross income means all inform from whatever source derived. In the exchange, the accounting entity must receive assets that are capable of being objectively valued: prepayments not treated as income until earned for financial accounting purposes but is often taxed in the year of receipt. Includes income realized in any form, money property services. Taxable year: most individuals use a calnder year as their taxable year. Fiscal year: period of 12 month ending on the last day of any month other than december. Original issue discount: the difference between the original amount of the loan and the amount due at maturity is actually interest. Must be reported when it is earned regardless of taxpayers accounting method. Certain us savings bonds are issued at discount and are redeemable for fixed amounts that increase at stated itnervals: no interst paymants actually made.
