topic adjusted income before standard deductions in Retirement tax questions

adjusted income before standard deductions

Asodhi — Fri, 19 Mar 2021 09:42:40 GMT

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)?

Re: adjusted income before standard deductions

SteamTrain — Fri, 19 Mar 2021 14:53:53 GMT

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.

Re: adjusted income before standard deductions

Asodhi — Sun, 21 Mar 2021 08:17:45 GMT

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??