explain what an informal job is and give an example
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Informal economies include garment workers working from their homes, as well as informally employed personnel of formal enterprises. Employees working in the informal sector can be classified as wage workers, non-wage workers, or a combination of both.
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An informal job is one where the person does the work and gets paid, but the person does not register herself or himself within the income tax service and pays taxes as the income generated is not regular.
Explanation:
- Freelancing is an informal job, where the salary is not guaranteed and even the work is also not guaranteed or regular.
- Therefore the majority of freelancers cannot even show a regular income coming and do not get themselves registered under the income tax department, as primarily their incomes do not fall within the taxable brackets.
- However, again there are freelancers who do earn regularly and pay the taxes. This is a form of informal job.
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