Tax-free interest (typically earned on municipal bonds); and Non-taxable Social Security benefits. As you'll observe above, the adjustments added to the AGI are not common ones. Most people don't have these income sources, so their MAGI definition is, in fact, the same as their AGI's...
Tax credits:MAGI is used to determine eligibility foreducation tax credits, thePremium Tax Credit, and the Child Tax Credit. Net Investment Income Tax:Net Investment Income Tax (NIIT)is a tax imposed on certain types of investment income for individuals, estates, and trusts. Whether your investm...
Typically, your MAGI (modified adjusted gross income) and AGI (adjusted gross income) are close in value to one another. However, the small adjustments that tweak your AGI into your MAGI could have an important bearing on your overall tax return. Do you pay taxes on AGI ...
Modified AGI (MAGI) includes Adjusted Gross Income on your federal income tax return plus any excluded foreign income, nontaxable Social Security benefits (including tier 1 railroad retirement benefits), Supplemental Security Income (SSI), and tax-exempt interest received or accrued during the taxable...
(Net investment income includes, among other things, taxable interest, dividends, gains, passive rents, annuities and royalties.) The 3.8% tax is due on whichever is smaller: net investment income or the excess of modified AGI over the set income thresholds. For purposes of this 3.8% surtax,...
参考资料:Fairmark: Modified Adjusted Gross Income The FI Tax Guy: The MAGI Limitation on Roth IRA Contributions Publication 590-A: Worksheet 2-1 Investopedia: MAGI 免责声明:本文及其中任何文字均仅为一般性的介绍,绝不构成任何法律意见或建议,不得作为法律意见或建议以任何形式被依赖,我们对其不负担任何形...
9 RegisterLog in Sign up with one click: Facebook Twitter Google Share on Facebook Dictionary Thesaurus Financial Encyclopedia Wikipedia AcronymDefinition MAGIModified Adjusted Gross Income MAGIMcNaughton Apparel Group, Inc. MAGIMathematical Applications Group, Inc.(computer graphics) ...
As mentioned earlier, MAGI is used to determine eligibility for certain tax benefits, subsidies, and assistance programs in a number of different ways. The specific calculations can vary depending on the context, as MAGI is used in different scenarios. Below is a brief list of programs, taxes,...
It mentions that the modified adjusted gross income (MAGI) helps in measuring the eligibility of Medicaid and Children's Health Insurance Program (CHIP) applicants, along with the eligibility for tax credits while purchasing ACA coverage.Frigon...
Yes, 401(k) money is treated like income when you withdraw funds. As you didn't pay taxes on that money, when you withdraw it, it will be taxable at your ordinary income tax level at the time. The Bottom Line A 401(k) retirement plan will reduce both your AGI and MAGI, as contri...