EBT calculator
Revenue of 850,000 minus 620,000 of costs other than income tax gives earnings before tax of 230,000, a pretax profit. Interest and depreciation count as costs; income tax never does. Free in your browser.
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Worked example
- Total revenue
- 850,000
- Expenses
- 620,000
- Ebt
- 230,000
- Pretax result
- profit
- Pretax margin percent
- 27.058824
Earnings before tax, or EBT, is the pre-tax profit line that sits below interest and above income tax on an income statement. Analysts, operators, lenders, and tax desks use that single number to compare businesses after financing costs but before jurisdiction-specific tax. This EBT calculator takes two finite numbers in one currency — total revenue and all expenses excluding income tax — subtracts the expense total from revenue, and returns pre-tax earnings together with a pretax result label and, when revenue is not zero, a pretax margin.
How EBT turns total revenue and non-tax expenses into pre-tax earnings
Earnings before tax is pre-tax income: what the business earns after every operating and financing cost except income tax. Income tax is not an input and is never subtracted, because the whole point of EBT is the line that still sits above tax. A period with eight hundred fifty thousand of revenue and six hundred twenty thousand of non-tax expenses prints EBT of two hundred thirty thousand, a pretax result of profit, and a pretax margin of the raw difference over revenue as a percentage.
Zero revenue or zero expenses is a legitimate outcome and is not an error: a pre-revenue period or a year with no recorded costs still has an EBT, often negative. Negative revenue or negative expenses are accepted as finite numbers because returns, credits, or restatements can print those signs; the difference follows them instead of hiding behind an absolute value.
This calculator does not reconstruct a full income statement, does not split cost of goods sold from selling expense, does not compute EBIT (that line still sits above interest), does not subtract income tax to reach net income, and does not convert currencies. You supply two finite numbers that already share one period and one currency; the calculator subtracts them and rounds EBT half-up to two decimal places so goldens compare byte-for-byte across runtimes.
This is a going-in EBT from the two-line identity, not an EBIT view, not a net-income figure, and not a cash-from-operations number.
Where an EBT calculator earns its keep
Operators screening a monthly close use an EBT calculator to turn last period's total revenue and the sum of every cost except income tax into one comparable pre-tax line before they open a full income-statement model. Lenders and credit analysts re-run the same two fields when a year closes or a covenant package asks for earnings before tax, then pin ebt next to the tax provision so every memo starts from one pretax figure rather than from net income that already embeds the jurisdiction.
Tax desks drop filing revenue and a non-tax expense roll-up into one going-in EBT beside an effective-tax-rate case rather than treating net income as a substitute. This is a different search and a different job from an EBIT identity, from EBITDA, from net income after tax, and from a debt-service coverage ratio: those tools start from different lines and answer different questions. Failed validation does not consume balance.
Keep both fields finite, pin the rounded EBT in tests, and you get a reproducible pre-tax earnings figure for teasers, LMS plugins, and edge workers without standing up a general ledger of your own.
What you can do with it
Monthly close before the tax provision
Turn last period's total revenue and every cost except income tax into one EBT line before you open a full income-statement model.
Lender memos and pretax covenants
Pin earnings before tax next to the tax provision so covenant packs share one pretax figure rather than net income that already embeds the jurisdiction.
Tax desks and effective-rate cases
Drop filing revenue and a non-tax expense roll-up into one going-in EBT beside an effective-tax-rate case instead of starting from net income.
FAQ
How is EBT calculated?
Money amounts round half-up to two decimal places.
Should expenses include income tax?
No. Send expenses excluding income tax. Income tax is not an input and is never subtracted. Folding current tax into the expense total would mix a tax line into pre-tax earnings.
Is EBT the same as EBIT or net income?
No. EBIT is earnings before interest and taxes, so interest is still outside that line. Net income is after income tax.
What happens if a field is missing or not a number?
NaN, Infinity, empty strings, and missing fields are rejected and are not billed.
What is the pretax margin?
It is earnings before tax divided by revenue, shown as a percentage, so you can compare periods or companies of different size. It appears only when revenue is not zero, because a margin on zero revenue has no meaning.
Related tools
For developers — API access
Everything on this page is available programmatically. This section is for teams who want to wire it into their own systems; everyone else can just use the tool above.
API endpoint
Prefer to automate it? One authenticated POST creates the task; the result comes back by webhook or a signed link. The same capability also runs here on the web, by email and from Telegram — and soon from our app too.
Call it from your stack
curl -X POST https://api.kit.forhosting.com/fin/ebt \
-H "Authorization: Bearer $KIT_KEY" \
-H "Content-Type: application/json" \
-d '{"total_revenue":850000,"expenses":620000}'const res = await fetch("https://api.kit.forhosting.com/fin/ebt", {
method: "POST",
headers: {
"Authorization": `Bearer ${process.env.KIT_KEY}`,
"Content-Type": "application/json"
},
body: JSON.stringify({
"total_revenue": 850000,
"expenses": 620000
})
});
const { task_id } = await res.json();import os, requests
res = requests.post(
"https://api.kit.forhosting.com/fin/ebt",
headers={"Authorization": f"Bearer {os.environ['KIT_KEY']}"},
json={
"total_revenue": 850000,
"expenses": 620000
},
)
task_id = res.json()["task_id"]<?php
$res = file_get_contents("https://api.kit.forhosting.com/fin/ebt", false, stream_context_create([
"http" => [
"method" => "POST",
"header" => "Authorization: Bearer " . getenv("KIT_KEY") . "\r\nContent-Type: application/json",
"content" => '{"total_revenue":850000,"expenses":620000}',
],
]));
$task = json_decode($res, true);body := bytes.NewBufferString(`{"total_revenue":850000,"expenses":620000}`)
req, _ := http.NewRequest("POST", "https://api.kit.forhosting.com/fin/ebt", body)
req.Header.Set("Authorization", "Bearer "+os.Getenv("KIT_KEY"))
req.Header.Set("Content-Type", "application/json")
res, _ := http.DefaultClient.Do(req)Example request
{
"total_revenue": 850000,
"expenses": 620000
}Example response
{
"task_id": "tsk_a1b2c3d4e5f6a1b2c3d4e5f6",
"type": "fin.ebt",
"status": "queued",
"_links": {
"result": "/tasks/tsk_…/result"
}
}The API is asynchronous: the call returns a task_id immediately and the result arrives by webhook. Polling is capped at 1 req/s per task.
Pricing
Published price — no tokens, no invented credits. A failed task is never charged.
Errors
| HTTP | Code | Meaning |
|---|---|---|
401 | unauthorized | Missing or invalid API key. |
402 | insufficient_balance | Your balance doesn't cover the task price. |
404 | unknown_type | That task type doesn't exist. |
429 | rate_limited | Too many requests. Use the webhook instead of polling. |
Technical notes
Any input that is missing, empty, or not a finite number fails with invalid_input and is not billed.
How EBT turns total revenue and non-tax expenses into pre-tax earnings
The identity this calculator uses is ebt equals total_revenue minus expenses. total_revenue is the top line for the period in one currency. expenses is the period total of every cost line except income tax — cost of goods sold, selling, general and administrative expense, research, depreciation, amortization, interest, and other non-tax charges already combined into one finite number.
Input contract, response shape, and error behaviour
Zero and negative amounts are allowed: a pre-revenue year, a credit, or a restatement still produce a finite EBT rather than an error. POST a JSON body with two required finite numbers in one currency. total_revenue is the period top line; aliases revenue, sales, and turnover map to the same field so a worksheet can keep its column names. expenses is the period total of all costs excluding income tax; aliases total_expenses, non_tax_expenses, and expenses_excluding_tax are accepted. Each numeric field may arrive as a JSON number or a numeric string. Missing fields, empty strings, and non-finite values — NaN, Infinity, or text that does not parse as a number — fail with invalid_input naming the field. Those failures are not billed. On success the body echoes total_revenue and expenses, then reports ebt as the difference rounded half-up to two decimal places, pretax_result as profit, loss, or break_even from that rounded figure, a formula string restating the identity, and pretax_margin_percent as the raw difference over revenue times one hundred, rounded half-up to six decimal places, omitted entirely when total_revenue is zero so the payload never carries a divide-by-zero or a null. Example: eight hundred fifty thousand of revenue and six hundred twenty thousand of non-tax expenses yield EBT of two hundred thirty thousand, pretax_result profit, and a pretax margin of about twenty-seven percent. Pair the JSON with your own rule for which expense definition matches the period — income-statement totals often already include current tax — because this endpoint subtracts the two numbers you send; it does not rebuild the statement, choose a reporting convention, or convert currencies.
Technical questions
What does the EBT calculator cost?
The browser tool is free. API requests use prepaid KIT balance at $0.002 per successful call; invalid input is not billed.