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Tax is the first priority of payment that's why dividend is paid on income after tax basis which is dividable to shareholders.

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11y ago

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What is the difference between Net profit and Divisible profit?

Net profit is net profit after tax earns by business during fiscal year while divisable profit is that amount of profit which is available for distribution to shareholders in the form of dividend.


Net sales minus cost of goods sold?

Net sales - CoGS = Gross Profit Gross Profit - other expenses = Net profit before tax Net profit before tax - tax amount = Net profit after tax


Net Profit calculation?

net profit is a profit after tax(PAT)


What is the difference between net profit before tax and net profit interest and tax while calculating in cash flow suppose if you have income statement then which one is selected npbt or npbit?

Net profit before interest and tax amount is selected for cash flow from operating activities and after that interest and tax is deducted while net profit before tax means net profit is adjusted for interest already while net profit before interest and tax means net profit is not adjusted for interest as well as for tax.


Is earning after tax is the same as net profit after tax?

No. Your earning after all of the taxes and other things that your employer has to withhold would be your net paycheck tax home pay for that pay period.A business operation would have a gross income or sales less all of the ordinary and necessary expenses of the business operation then they would come up with the net profit or net loss from the business operation.From this business net profit the taxes would be calculated and paid.After that they would have the net profit amount after taxes.


How do you calculate net profit before taxes?

Net Profit Before Tax(N.P.B.T.) = Total sales - Total Expenses.


Net profit after tax?

Yes, net is after tax. Gross is before tax.


Is net profit after tax or before tax?

Before


If net profit after tax is 64000 and sales is 720000 what is the net profit margin?

Net profit margin = 64000 / 720000 * 100 Net profit margin = 8.89%


Is net profit the same as net income?

Net profit is not the same as net income. There are many things that can be deducted on a tax return form from net profit that reduce net profit down to net income.


What is the low income threshold for paying income tax?

A self employed taxpayer would be required to file an income tax return if the net profit for the year was more than 400 and would have to pay the self employment taxes (social security and medicare tax) that would be due on the net profit and the net profit amount would be added to all of the other gross income on the tax return and taxed at the marginal tax rate.


Formulla for retained earnings?

retained earnings=profit after tax- dividend distribution