Earned Income is any revenue you obtain from a job or personal services. It is the money you make while completing responsibilities or labor. The IRS defines earned income as wages, salaries, tips, and other kinds of compensation received in exchange for labor. Earned income consists of several major components, including: Earned income also includes […]
Your Adjusted Gross Income (AGI) is your total gross income minus specific deductions, commonly known as “adjustments to income.” It’s an important amount on your tax return since it influences your eligibility for numerous credits and deductions. Your gross income comprises the following: Wages and Salaries Business or freelancing income Interest and Dividends Capital Gains […]
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