Eve 998 Questions 5 Answers 1 Best Answer 60 Points View Profile Eve Asked: October 12, 20202020-10-12T19:16:50+05:30 2020-10-12T19:16:50+05:30In: Money What is the difference between Gross Total Income (GTI) and Total Income (TI)? Hi, What are the differences between the Gross Total Income and Total Income? Gross Total Income vs Total Income? Is total income the same as gross income? Differences Share Facebook Related Questions What is the difference between Free Trade and Fair Trade? What is the difference between Packing and Packaging? 1 Answer Voted Recent CrazyMan 17 Questions 1k Answers 1k Best Answers 43k Points View Profile Best Answer CrazyMan Guru 2020-10-12T19:19:23+05:30Added an answer on October 12, 2020 at 7:19 pm Difference Between Gross Total Income and Total Income Filing income tax is an essential duty of all citizens, but at the same time, it involves various technical aspects. The income declaration should be made in a proper way to avoid penalties. Tax consultants and chartered accountants come to their aid to help them filing the income tax. But still, taxpayers should have a proper understanding of the terms – Gross Total Income (GTI) and Total Income (TI). Let us try to understand these terms and find out the significant differences between the two. The Gross Total Income can be defined as the sum of income generated from all the sources. These sources can be – salary, property, business, profession, capital gains, or income from any other sources in a financial year. There are various ways to calculate the gross total income. The Total Income can be defined as the income calculated after various deductions under section 80 from the GTI. In simple terms, the income remaining after paying the taxes. Total Income = Gross Total Income – Tax Deductions or you can also understand it in this way: Gross Total Income = Total Income + Tax Deductions Let us now move to the Difference Between Gross Total Income and Total Income as below, which is now very easy for you to find out: Difference Between Gross Total Income and Total Income Gross total income is the income generated from all the sources in the financial year under the income tax act. In contrast, total income is the income on which tax liability is determined. Gross total income is the income generated before allowing the tax deduction as per income tax laws, while total income is the income calculated after tax deductions. Tax is levied on the total income, and not on the gross total income. Now it is easy to understand that tax is applicable to the total income, which is calculated using proper steps. So, gross total income is determined first, and then deductions are made to get the total income. 1 Share Share Share on Facebook Share on Twitter Share on WhatsApp Share on LinkedIn You must login to add an answer.Continue with FacebookContinue with GoogleContinue with Twitteror use Username or email* Password* Captcha* Remember Me! Forgot Password?