Non-taxable income is known as Tax-exempt income
Income is defined as cash payments, services, or exchanges of property.
For taxation, income is divided into two broad categories;
Income from some types of investments, like muni bonds, qualify as exempt income.
Any income that an individual acquires or earns during a financial year that is deemed to be non-taxable is referred to as ‘Exempt Income’.
Exempt income comes in many forms such as
Following are the types of income that are exempt from tax-