For tax purposes,one of the requirements to recognize income is:

Question

Quizplus · Accepted Answer

For income to be recognized for tax purposes, there must be an economic benefit, meaning that the taxpayer must receive something of value. Option B is incorrect because the transaction must be completed to recognize income. Option C is also incorrect because although some income may be tax-exempt, it still needs to meet the economic benefit requirement to be recognized for tax purposes.

For Tax Purposes,one of the Requirements to Recognize Income Is