adjusted income before standard deductions

A person, retired, has 0 income in a year. What will be the AGI?? Will it be 0? (assume no other income. no interest, no dividends.

in that case, what will be the standard deductions? will the std deduction be 0 or can one take standard deductions (so AGI will be negative)?

389

Level 15

Mar 19, 2021 7:53:53 AM

AGI is gross income before the std deduction. AGI is line 11 of the 2020 form 1040.

Even so..."Taxable Income" (line 15 of the 2020 form 1040) can not go lower than zero. i.e. zero is the lower limit...after deductions have been subtracted.

Level 2

Mar 21, 2021 1:17:45 AM

Thanks for the correction. I should have said Taxable Income, not AGI.

FOR OTHER EXPERTS: Should I enter the negative number, or just a 0 for my Taxable Income? Does it matter if it is <= 0??

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adjusted income before standard deductions