calculate net income after taxes
In the example, $500,000 plus $3,000 minus $300,000 minus $5,000 equals net income before taxes of $198,000. Step 4. Subtract the total amount of taxes paid during the year from the net income before tax to obtain net income after taxes. In the example, the company paid $48,000 of taxes during the year.So, $198,000 minus $48,000 equals net income after taxes of $150,000.o not include expenses for taxes as part of the company&amp;#039;s expenses and losses. In the example, the company had $300,000 of expenses for employees and cost of goods sold and a $5,000 loss incurred when the firm lost a lawsuit. Related Reading: How to Calculate Net Taxable Income After Dividend Income. Step 3.