Net Legal Meaning and Definition

Here is a simplified definition of the legal term Net.

Net (noun, adjective)

1. The final amount remaining after all possible deductions, like expenses, taxes, depreciation, and costs, have been subtracted from the total or gross amount. It's often used in financial and accounting contexts to refer to an amount of money that is left when all costs and expenses are taken away from a total.
2. The net value can apply to many different financial matters, such as income (income after taxes), profit, or value of assets.
3. As an adjective, 'net' describes that this remnant amount is being referred to. For example, net income or net profit.

Example sentence: After paying all his expenses, John's net income for the month was $2,000.