What is the formula for gross income?

The IRS defines gross income as the total of earned income plus unearned income. Earned income includes salaries, wages, tips, and professional fees. Unearned income includes taxable interest, ordinary dividends, capital gain distributions, unemployment compensation, taxable social security benefits, etc.

For more information, go to www.irs.gov/formspubs for Publication 525 (Taxable and Nontaxable Income).