### Question
Can you define what extraterritorial income means?


### Answer
**Extraterritorial income** is defined as the following in *26 U.S.C. § 114*:

> the gross income of the taxpayer attributable to foreign trading gross receipts (as defined in section 942) of the taxpayer

#### Citation:
  - *26 U.S.C. § 114*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART III-ITEMS SPECIFICALLY EXCLUDED FROM GROSS INCOME**

