[Verse 1] When you're learning tax law, there's a place to start Gross income is the beating of the tax code's heart Haig-Simons had a vision, IRC sixty-one All income from whatever source, the foundation's begun [Chorus] Whatever source derived, that's the magic phrase Compensation, interest, dividends for days Rents and royalties, gambling when you win Glenshaw Glass will test it, let the learning begin Whatever source derived, cast your net so wide If it flows to you with value, there's nowhere to hide [Verse 2] Nineteen fifty-five brought us a famous case Glenshaw Glass Company had to show their face The Commissioner said "You owe tax on that gain" Three-part test was born to make the rules more plain [Chorus] Whatever source derived, that's the magic phrase Compensation, interest, dividends for days Rents and royalties, gambling when you win Glenshaw Glass will test it, let the learning begin Whatever source derived, cast your net so wide If it flows to you with value, there's nowhere to hide [Bridge] First you need accession, wealth that comes your way Then you need realization, happens on that day Third is your dominion, you control the prize Glenshaw Glass will guide you, three tests to analyze [Verse 3] Alimony from agreements made before nineteen Old divorce decrees still count in this machine Discharge of your debts can be income too Community property splits between me and you [Chorus] Whatever source derived, that's the magic phrase Compensation, interest, dividends for days Rents and royalties, gambling when you win Glenshaw Glass will test it, let the learning begin Whatever source derived, cast your net so wide If it flows to you with value, there's nowhere to hide [Outro] Imputed income hides, but usually gets a pass Gross income is the foundation of your tax law class
← 4 Tax Policy Fundamentals | 2 Exclusions from Gross Income →