The Motley Fool Discussion Boards
Financial Planning / Tax Strategies
|Subject: Re: Obamacare premium credits & 1040?||Date: 9/23/2013 11:43 AM|
|Author: TMFPMarti||Number: 119196 of 121061|
It is interesting to see that you are not to included Coverdell education savings account interest. Since the waiving of taxes on the Ibonds is for when it is used to pay for college, I wonder if it too is not to be included. That is really what I am trying to figure out in advance. It is a bit late to plan for things if you simply have to wait and see after the fact if you get a 1099 INT.
Sorry if I am being obtuse.
You're not. You're just overthinking it.
The tax-exempt interest in question for the calculation of MAGI is current interest income that is by law exempt from Federal taxation no matter what you do with it. The things you bring up may or may not some day wind up producing taxable income depending on what you do with the earnings, but that hardly makes them tax-exempt in the MAGI sense.
Rule Your Retirement Home Fool
|Copyright 1996-2014 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us|