Ohio Modified Adjusted Gross Income (MAGI)
Modified Adjusted Gross Income (MAGI) is a key figure used in Ohio state tax calculations. It is primarily used to determine eligibility for certain tax credits and exemptions, including the retirement income credit and exemption amounts.
What is Ohio MAGI?
Ohio MAGI is calculated by adding your Ohio adjusted gross income (from Ohio IT 1040, line 3) to your business income deduction (from Ohio Schedule of Adjustments, line 13). If you did not claim a business income deduction, your MAGI will be the same as your Ohio adjusted gross income.
How to Calculate MAGI
- Start with your Ohio adjusted gross income (Ohio IT 1040, line 3).
- Add your business income deduction (Ohio Schedule of Adjustments, line 13).
- The result is your Modified Adjusted Gross Income (MAGI).
Uses of MAGI in Ohio Taxation
MAGI is used to determine:
- Your exemption amount for Ohio state income tax.
- Your eligibility for the retirement income credit.
- Other credits and deductions based on income thresholds.
Important Notes
- Ohio MAGI is different from federal MAGI. It is based on Ohio-specific adjustments.
- Business income deductions are only included if they are reported on the Ohio Schedule of Adjustments.
- For tax years 2024 and forward, federal adjusted gross income (AGI) is taken from line 11a of your federal Form 1040, 1040-SR, or 1040-NR.
Source:
Form IT 1040 and SD 100 Guidelines
Municipal Income Tax Guidelines
Disclaimer: Always verify information with official Federal or State Department of Revenue Forms and Instructions.