Question

How would you define the concept of "passive income"? Any examples you can provide? Would you...

How would you define the concept of "passive income"? Any examples you can provide? Would you be subject to passive income rules?

I have already used Rental proferties for one example of passive income.

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

A passive income is an income which is earned without the active involvement of the earner in the business, such as dividend income. The investor just sits back at his home and earns dividends on the shares invested in a company. When an investor takes less risk and earns a fixed income then he can be called as earning Passive Income.

If I am earning interest income or dividend income or rental income then I will be subject to passive income rules. Generally Passive income is taxable income. According to Passive income rules if there is any loss in passive activity then the businessmen is not allowed to set it off against other active income. Although one can offset passive losses against any other passive income.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
did you have any food rules growing up? do you have any food rules in your...
did you have any food rules growing up? do you have any food rules in your household now? if not, would you consider any food rules in the future? please provide at least one example of a possible health oriented food rule
1. Define the terms antibacterial and antibiotic and explain how these substances work. Provide several examples...
1. Define the terms antibacterial and antibiotic and explain how these substances work. Provide several examples of products you have seen that claim to be antibacterial (hint: house hold cleaning agents). 2. Having defined these terms, consider how they could design an antibacterial product or antibiotic drug that would only kill prokaryotic bacteria while leaving eukaryotic cells alone. The idea is for you to consider prokaryotic cell structures that are different from eukaryotic structures and target them. 3. Next, address...
How do economists define a "bubble"? Provide an example of an asset market that you think...
How do economists define a "bubble"? Provide an example of an asset market that you think could be the next bubble and explain why. (Do not use the examples cited in your textbook).
Define implicit bias and explain how it can influence health disparities. Describe how this concept affected...
Define implicit bias and explain how it can influence health disparities. Describe how this concept affected the health outcomes for Kira Johnson or Shalon Irving. Provide an example from the readings to support your answer https://www.npr.org/2017/12/07/568948782/black-mothers-keep-dying-after-giving-birth-shalon-irvings-story-explains-why
5.) Define and give examples of Ekman and Friesen’s five display rules. 6.) Would you share...
5.) Define and give examples of Ekman and Friesen’s five display rules. 6.) Would you share your negative and positive emotional experiences on social media? What would you say are some of the benefits and drawbacks of sharing emotional experiences on social media? 7.) When do you have difficulty identifying your own emotions? What causes this?
1)describe how animal can be used to model human disease? 2) define the word biomarker provide...
1)describe how animal can be used to model human disease? 2) define the word biomarker provide example of a biomarker as state what disease it is linked to.
How can you prepare to present a budget? Provide at least three examples.
How can you prepare to present a budget? Provide at least three examples.
How would you define a manager? How would you define an organization? Please cite your sources....
How would you define a manager? How would you define an organization? Please cite your sources. Give an example of a strong manager and an organization that you worked with in the past or presently.
what it means to be stigmatized. Then provide three examples of how the Internet can be...
what it means to be stigmatized. Then provide three examples of how the Internet can be used to combat stigma
How would you define short-run fluctuation or ‘detrended output’. Provide the formula.
How would you define short-run fluctuation or ‘detrended output’. Provide the formula.
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT