<p>Hey could you please tell me what should i write for:
"Enter the wages, salaries, commissions, and tips your parents received during their country's most recent tax year." - are that my parents salaries - taxes paid on that salaries?</p>
<p>"Enter the amount of income your parents were or will be required to pay taxes on during their country's most recent tax year."</p>
<p>Wages, salaries, tips and other compensation is your parents’ INCOMES from the year.</p>
<p>The second question is what they have to pay taxes on…this is the adjusted gross income…the amount of their income minus any deductions. I think.</p>
<p>so if my parent’s have the gross salary = 20k, but they receive in hand only 15k, 5k being the taxes, should I write in the first field 15k, and in the second 20k?
They don;t have any additional incomes.</p>
Hi, I have the same question. I believe that in the previous example, 20k should go in the first field and 15k in the second field. Am I right?
@thumper1 Can you answer this?
I’m guessing that the 2nd question is asking AGI? not sure.
The first question is the gross income - the total of all earned income for the tax year.
Sometimes certain income is not taxed, or there are deductions from income before tax is assessed. The second question would be the answer to the first question minus any untaxed income and deductions from income.
@BelknapPoint is correct.
However…I do think that the taxes do not get subtracted from the income to get the taxable income!
If there is no untaxed or nontaxable income, and no unearned income, then in the example, the answer to both is the same amount ($20k).