Incomeinspire Hitech City, Hyderabad, Telangana

When people want to pay their income tax, the first thing they do is to find out their total income and the taxable income. Yes there is a difference between the two. Total income is just the total earnings of the individual. However, all earnings are not taxable. Income earned through few sources like agriculture are not taxed (exempt),hence they do not form part of taxable income. Hence ‘total taxable income’ is nothing but total earnings reduced by exempt amount. income tax (it) is payable on the total income of the individual. And as I told you earlier, not every earning forms part of income. So this leads to a question “what is income”.