### Question
How is the term gross investment income defined?


### Answer
The term **gross investment income** is defined in *26 U.S.C. § 4940* as the following:

> the gross amount of income from interest, dividends, rents, payments with respect to securities loans (as defined in section 512(a)(5)), and royalties, but not including any such income to the extent included in computing the tax imposed by section 511

#### Citation:
  - *26 U.S.C. § 4940*
  - Heading: **Subtitle D-Miscellaneous Excise Taxes > CHAPTER 42-PRIVATE FOUNDATIONS; AND CERTAIN OTHER TAX-EXEMPT ORGANIZATIONS > Subchapter A-Private Foundations**

