Your annual adjusted gross income without taking into account any IRA deduction, student loan interest deduction, or certain other deductions as specified under the Internal Revenue Code.
Adjusted Gross Income (AGI), with the following added back: Income from US Savings Bonds used to pay higher education; foreign earned-income exclusion; foreign housing exclusion or deduction; half of Social Security or tier 1 railroad retirement benefits; passive activity losses and credits limited; employer reimbursed adoption expenses. An individual's MAGI for any year will determine eligibility to make a Roth IRA contribution for that year. For most individuals, MAGI will be the same as AGI.
Modified adjusted gross income (MAGI) is a measure of income used to determine how much of a tax-deductible contribution you may make to a regular IRA or nondeductible contribution to a Roth IRA. MAGI is also used to determine how much you can contribute to certain Coverdell education savings accounts, formerly called education IRAs. MAGI is smaller than gross income and may be larger than adjustable gross income (AGI is shown on line 35 of IRS Form 1040.) The IRS says that MAGI and AGI are equal for most taxpayers. To calculate MAGI, add any foreign-earned income and housing exclusions (or income earned in American Samoa or Puerto Rico) to your AGI.
Your AGI (adjusted gross income) computed without considering any passive activity loss, IRA or SEP plans, taxable social security or the deduction for one-half of the self-employment tax.
There are different definitions for different purposes. It is usually the adjusted gross income with various items added back in.
Adjusted gross income is sometimes modified for specific purposes (such as for the education credits, the Adoption Credit, the Child Tax Credit, and determining taxable Social Security benefits). For each purpose, the modification may be different, so you need to read the instructions carefully.
This represents adjusted gross income before certain deductions or adjustments are taken. It is used in determining your eligibility to a Roth IRA and Traditional IRA.
An individual's AGI with adjustments, used to determine the total amount allowed as a loss on real estate investments for federal income tax purposes.
MAGI for determining eligibility to make a Roth IRA contribution is an individual's AGI from his or her federal income tax return with certain modifications. For most taxpayers, MAGI will be the same as their AGI. MAGI for a Roth IRA is AGI, with the following added back: Income from US Savings Bonds used to pay higher education; foreign earned-income exclusion; foreign housing exclusion or deduction; half of Social Security or tier 1 railroad retirement benefits; passive activity losses and credits limited; employer reimbursed adoption expenses. An individual's MAGI does not affect his ability to make a Traditional IRA contribution. The MAGI of an individual who is an active participant in an employer-sponsored retirement plan may affect his ability to deduct his Traditional IRA contribution.
In U.S. tax law, modified adjusted gross income (MAGI) is used to determined how much can be contributed to certain personal retirement programs. The starting point to determine MAGI, is the adjusted gross income (AGI). Adjusted gross income is basically total income minus certain adjustments.
