IM-103 ALLOWABLE DEDUCTIONS AND SPECIFIC TYPES OF INCOME FOR MAGI

Department of Social Services
Family Support Division
PO Box 2320
Jefferson City, Missouri

TO:  ALL FAMILY SUPPORT OFFICES

FROM: REGINALD E. McELHANNON, ACTNG DIRECTOR

SUBJECT: ALLOWABLE DEDUCTIONS AND SPECIFIC TYPES OF INCOME FOR MAGI

MANUAL REVISION #72

1805.030.20.15
1805.030.25.15

 

DISCUSSION:

The purpose of this memorandum is to address changes to MAGI Allowable Deductions.  The 2018 Tax Reform introduced new schedules for the Internal Revenue Service (IRS) form 1040 (U.S. Individual Income Tax Return).  The IRS form 1040A and IRS form 1040EZ are no longer in use.  The change to the IRS form 1040 are additional schedules (1-6), which detail the allowable deductions for MAGI, as well as, alimony, business income or loss, real estate, royalties, partnerships, S corporations, trusts, farm income, and other income.

  • Only enter deductions allowable under MAGI guidelines
  • Not all schedules are applicable to MAGI
  • Tuition and Fees are no longer an allowable deduction
  • Moving Expenses are only allowable for certain Military Personnel

NECESSARY ACTION:

  • Review this memorandum and manual revisions with appropriate staff

 

PL/ag