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Book Income
The income reported by a business for financial accounting purposes, which may differ from taxable income due to different accounting methods.
Taxable Income
The portion of income that is subject to income tax after deductions and exemptions.
AMT Exemption
An amount exempt from the Alternative Minimum Tax, designed to ensure that taxpayers with higher income pay a minimum amount of tax.
Corporation
A legal entity owned by shareholders, with rights and liabilities distinct from those of its owners, and subject to corporate income tax.
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