<p>What do they mean by "taxable income" - is this gross or net? Thanks.</p>
<p>45 views and noone knows the answer to this?</p>
<p>Doesn't FAFSA tell you what line on the 1040 to look at to get the answer? Look at your parents' 2005 1040 forms, and see what's deducted and what's not.</p>
<p>Pearl it is not as straightforward as gross or net which is why people have probably not commented. Certainly it is not net (as in after taxes). But as the figure required is your adjusted gross income there may be items deducted from the actual gross to arrive at this figure. For instance certain IRA contributions may be deducted from your gross income to arrive at the adjusted gross income figure (of course these get added back in another part of FAFSA). If the 2006 taxes are not done yet look at 2005 taxes and try and do a close estimate. Be carefull though because the tax form had changed from 2005 to 2006 and the line numbers do not all match so read the description.</p>