Which of the following is NOT a component of Gross Total Income?
Practice Questions
Q1
Which of the following is NOT a component of Gross Total Income?
Salary Income
House Property Income
Capital Gains
Tax Refunds
Questions & Step-by-Step Solutions
Which of the following is NOT a component of Gross Total Income?
Step 1: Understand what Gross Total Income means. It is the total income earned by an individual before any deductions or taxes.
Step 2: Identify the common components of Gross Total Income. These usually include salaries, wages, business income, rental income, and interest income.
Step 3: Consider what a tax refund is. A tax refund is money returned to you by the government when you have overpaid your taxes.
Step 4: Determine if a tax refund is part of the income you earned. Since it is a return of your own money, it is not considered income.
Step 5: Conclude that tax refunds do not count as Gross Total Income.
