### Question
What is the definition of gross profit percentage?


### Answer
The definition of **gross profit percentage** is as follows in *26 U.S.C. § 132*:

> the percent which—



(i) the excess of the aggregate sales price of property sold by the employer to customers over the aggregate cost of such property to the employer, is of



(ii) the aggregate sale price of such property

#### Citation:
  - *26 U.S.C. § 132*
  - 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**

