The "adjustments" or "deductions" to gross income are taken directly against gross income to determine Adjusted Gross Income (AGI), they are listed on lines 23-35 on the front page of the tax return Form 1040.
Common "Adjustments" to Total Income:
- Education expenses
- Health savings account deduction
- Moving expenses
- One-half self-employment tax
- Contributions to self-employed retirement plans
- Self-employed health insurance deduction
- Alimony paid
- IRA contribution deductions
- Student loan interest deduction
- Tuition and Fees deduction
GROSS INCOME – ADJUSTMENTS = ADJUSTED GROSS INCOME (AGI)
Standard / Itemized Deductions
TaxesThe first step in completing your taxes is calculating your adjusted gross income. Here’s how.
TaxesAdjusted gross income (AGI) is a term from the Internal Revenue Code. AGI is used to determine a person’s income taxes due.
TaxesFind out about these deductions and how you can use them to lower your tax bill.
TaxesNot taking the standard deduction this year could save you hundreds of dollars.
InvestingModified adjusted gross income, or MAGI, is one aspect of a person’s income that is calculated while preparing a tax return.
TaxesDetermining your adjustable gross income is essential in the tax filing process. Here are some tips for doing so.
TaxesRunning your own business has both personal and financial perks.
Personal FinanceThese are some of the most common tax write-offs that you can't really claim.
TaxesGross income is an individual’s total income before taxes and other adjustments are considered.
TaxesSix reasons why many taxpayers can save money and time by claiming the standard deduction.