Estimating Irregular Income
Irregular income occurs due to having a generation period over two years. Irregular income receives special tax treatment because the whole income is added to the annual fixed income, but at the same time 40, 50, or 70 percent of that amount is considered as a deduction as part of the tax calculation process (similar to the available deduction calculation process). Therefore, during tax percentage calculation, the system reduces the taxable base of irregular income by the corresponding percentage.