Gross taxable income
In one sentenceAll income the business earns from its activity that enters the income tax calculation before deducting expenses, except what the law expressly exempts.
Simply put
It includes revenue from the main activity and other sources: sales and services, rents, gains on selling assets and the like.
From this total, deductible expenses are subtracted to arrive at the tax base.
Worked example
A company has sales of 1,800,000 SAR, warehouse rental income of 120,000 SAR, and a gain of 30,000 SAR on selling a car.
Sales1,800,000 SAR
Rental income120,000 SAR
Gain on selling the car30,000 SAR
Calculation1,800,000 + 120,000 + 30,000
Taxable income1,950,000 SAR
Don't confuse it with
Income tax baseTaxable income is the total before expenses, and the base is what remains after deducting them.