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Net income is defined in the tax laws to mean net income as calculated for tax purposes. Income is not defined. To apply section 97 it is necessary to know what the income of the trust is and what a beneficiaryâs share of that income is.
Adjusted net income is the excess of gross income for the tax year ( including gross income from any unrelated trade or business ) deterÂ­mined with certain modifications over the total deductions ( including deducÂ­tions directly connected with carrying on any unrelated trade or business ) that would be alÂ­lowed a taxable corporation determined with ...