Agi Là Gì


Adjusted gross income (AGI) can directly impact the deductions và credits you are eligible for, which can wind up reducing the amount of taxable income you report on your tax return.Bạn vẫn xem: Agi là gì

AGI Overview

When preparing your tax return, you probably pay more attention khổng lồ your taxable income than your adjusted gross income (AGI). However, your AGI is also worthy of your attention, since it can directly impact the deductions và credits you’re eligible for—which can wind up reducing the amount of taxable income you report on the return.

Bạn đang xem: Agi là gì


AGI calculation

The AGI calculation is relatively straightforward.

Adjustments to income are specific deductions that directly reduce your total income khổng lồ arrive at your AGI. The types of adjustments that you can deduct are subject to lớn change each year, but a number of them consistently show up on tax returns year after year. Some of these adjustments include:

half of the self-employment taxes you payalimony payments made to lớn a former spouse (for agreements prior khổng lồ 2019)contributions to lớn certain retirement accounts (such as a traditional IRA)

Impact on deductions & credits

Many of the deductions & credits that taxpayers commonly take advantage of each year are subject lớn AGI limitations. If you itemize deductions, for example, you must reduce your medical và dental expenses by 7.5% of your AGI for 2020 meaning that you can only deduct the amount that exceeds 7.5% of your AGI. Therefore, the lower your AGI is, the more of your medical and dental expenses you can deduct.

Xem thêm: Sự Vận Hành Dry Run Là Gì

Even some of your adjustments lớn income are subject to lớn AGI limitations despite the fact that those deductions are necessary lớn calculate your AGI. If you’re eligible to deduct some of your tuition payments, your modified adjusted gross income (MAGI) determines whether you qualify.

Xem thêm: Đội Hình Lý Tưởng Theo Sơ Đồ 3-5-2, Đội Hình Lý Tưởng Theo Sơ Đồ 3

Other AGI implications

When you use to lớn prepare your taxes, we’ll ask you simple questions about your income & walk you step-by-step through the available adjustments to income và other deductions. We handle all the calculations for AGI & MAGI và determine exactly how this impacts your other deductions and credits.

All you need lớn know is yourself

Just answer simple questions about your life, and Free Edition will take care of the rest. For Simple Tax Returns Only