Gross income
For households and individuals, gross income is the sum of all wages, salaries, profits, interest payments, rents, and other forms of earnings, before any deductions or taxes.For a business, gross income (also gross profit, sales profit, or credit sales) is the difference between revenue and the cost of making a product or providing a service, before deducting overheads, payroll, taxation, and interest payments.Individuals, corporations, members of partnerships, estates, trusts, and their beneficiaries ("taxpayers") are subject to income tax in the United States.An early Supreme Court case stated, "Income may be defined as the gain derived from capital, from labor, or from both combined, provided it is understood to include profit gained through a sale or conversion of capital assets.[41] United States persons (including citizens, residents (whether U.S. citizens or aliens residing in the United States), and U.S. corporations) are generally subject to U.S. federal income tax on their worldwide income.Nonresident aliens are subject to U.S. federal income tax on some, but not all capital gains.[45] Wages may be treated as effectively connected income, or may be subject to the flat 30% tax, depending on the facts and circumstances.