Income Tax Refund Adjustments

Most taxpayers are entitled to income tax refund adjustments as allowed by the IRS tax laws. Below are some definitions of the IRS-allowable adjustments to income that can reduce the amount of tax owed to the IRS.

Income tax refund adjustments applied to total income

The total income before any income tax refund adjustments is shown on line 15 of the IRS tax form 1040A or line 22 of the IRS tax form 1040. Income tax refund adjustments are then applied to total income to arrive at the Adjusted Gross Income (AGI) for the taxpayer.

Below are some common income tax refund adjustments.

• Educator expenses tax deductions
• Moving expenses
• Penalty on early withdrawal of savings
• Alimony paid
• IRA deduction, Traditional IRA Deduction Limits
• Student loan interest deduction
• Tuition and fees deduction