What Income is Included in Massachusetts Gross Income?

Article ID: 59429  

Question
What Income is Included in Massachusetts Gross Income?

Answer

What Is Gross Income? Massachusetts gross income includes the following:

-All wages, salaries, tips, bonuses, fees and other compensation;

-Taxable pensions and annuities;

-Pension income from another state or political subdivision before any deduction;

-Taxable IRA/Keogh and Roth IRA distributions;

-Alimony;

-Income from a business, trade, profession, partnership, S corporation, trust or estate;

-Rental, royalty and REMIC income;

-Unemployment compensation;

-Taxable interest and dividends;

-Gambling winnings;

-Capital gains;

-Forgiveness of debt;

-Mortgage forgiveness;

-Taxable portion of scholarships and fellow ships; and

-Any other income not specifically exempt.

Massachusetts gross income also includes the following, which are not subject to U.S. income tax:

-Interest from obligations of states and their political subdivisions, other than Massachusetts and its political subdivisions; and

- Income earned by a resident from foreign employment.

Massachusetts gross income does not include: w Interest on obligations of the U.S. and U.S. territories;

-Pension income received from a contributory annuity, pension, endowment or retirement fund of the U.S. government or the Commonwealth of Massachusetts and its political subdivisions.

- Amounts received as U.S. Social Security, public welfare assistance, Veterans Administration disability payments, G.I. Bill education payments, certain worker’s compensation, gifts, accident or life insurance payments, or certain payments received by Holocaust survivors; and

- Compensation earned by members of the armed forces for service in a combat zone (excluded to the same extent as under federal law)


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Views: 1121 Created on: Jun 15, 2013