Earnings are the net benefits of a corporation’s operation. Earnings is also the amount on which corporate tax is due. For an analysis of specific aspects of corporate operations several more specific terms are used as EBIT — earnings before interest and taxes, EBITDA – earnings before interest, taxes, depreciation, and amortization.
For instance, the IRS uses the term profit to describe earnings, whereas for the corporation the profit it reports is the amount left after taxes are taken out.
