Differences: income, profit, proceeds and revenue.

Discussion in 'English Only' started by shiness, Sep 9, 2006.

  1. shiness Senior Member

    Korean, South Korea.

    I notice in the course of studying vocabulraies that income,profit,proceeds and revenue, all indicating a certain amount of money from running a business, are quite close in their own meanings and find it ambiguous to discern them from each for actual meaning and use.

    will be O.K to just grab and hold them in one category assuming these are of one kind, If not How would you separate which from which?

    Your thoughts, own definition and included examples will be much appreciated.
  2. Dimcl Senior Member

    British Columbia, Canada
    Canadian English
    "The revenue generated from the proceeds of the sales did not provide enough profit to provide the salesman with an adequate income."

    The word "revenue" is sort of all-encompassing. The word "proceeds" implies the flow of revenue. The word "profit" means after all expenses are paid and the word "income" (in this example, anyway) means "take-home pay".
  3. Old Novice

    Old Novice Senior Member

    USA, English
    The words are used as loose substitutes in ordinary conversation, but they do have different shades of meaning:

    These are my quick definitions, and you could probably find more formal ones via Google, but I believe they capture the main points.
  4. Sherlockat

    Sherlockat Senior Member

    Castilian (Patagonian)
    Well, depend on the context for sure!

    But roughly it'd be something like,

    "Revenue" applies more for COMPANIES and "income" for INDIVIDUALS, so:
    To a company -> Revenues minus costs = a profit (earnings) or loss
    To a individual -> Incomes minus expenses = net income

    Now, in the context of criminology (money laundering offence for instance) proceeds refers to "revenues" but with a negative connotation.
  5. Tazzler Senior Member

    American English
    Net income can still be applied to businesses! I don't know if it can be applied to households, sounds quite odd.
  6. Sherlockat

    Sherlockat Senior Member

    Castilian (Patagonian)
    In tax contexts for instance.
  7. Thomas Tompion Senior Member

    Southwest France
    English - England
    In tax contexts, net income often means something like Gross income - taxes on income + benefits. I wan't sure what Sherlockat meant by expenses in #4. Many expenses are paid out of net income, surely.

    Context is absolutely vital here: different people use these words in many different ways.
  8. chief2k12 New Member

    I do not see nor have i been able to successfully find a definition for income in law, or legislation. Income tax act for instance does not and will not define INCOME. In many Supreme Court Case, income has been equated to Profit and profit normally from what i can tell has to do with conducting a company or corporation no ? anyone able to or has links to show the definition of INCOME in the income tax act ?

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