Business Income

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DEFINITION of 'Business Income'

Any income that is realized as a result of business activity. Business income is a type of earned income, and is classified as ordinary income for tax purposes.

INVESTOPEDIA EXPLAINS 'Business Income'

Business income can be offset with business expenses and business losses. It can be either positive or negative in a given year.

RELATED TERMS
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    Income derived from active participation in a trade or business, ...
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