Income that is not subject to taxation is called
A) marginal income.
B) average income.
C) exempt income.
D) None of the answers is correct.

Question

Quizplus · Accepted Answer

Exempt income refers to income that is not subject to taxation. Examples of exempt income may include certain types of government benefits, some types of investment income, or income earned by a non-profit organization. Marginal income refers to the additional income earned from one more unit of work, while average income refers to the total income divided by the number of units of work.

Income That Is Not Subject to Taxation Is Called