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Chapter: 2200 Standard Filing Unit Program: MFAM 28 2230.0000 Family-Related Medicaid The program specific sections will discuss policy on members of the Standard Filing Unit (SFU), whose needs and income must be included or excluded based on Modified Adjusted Gross Income (MAGI) policy. 2230.0200 ASSISTANCE GROUPS (MFAM) The assistance group is the individual for whom Medicaid eligibility is being determined. Eligibility of the assistance group is based on a review of the total countable income of all counted individuals in the SFU based on MAGI budgeting methodologies. Assistance groups will consist of only one eligible individual.

2230.0400 STANDARD FILING UNIT (MFAM) The SFU is determined for each individual by following one of three rules based on intended tax filing status for the upcoming tax year as reported by the applicant/recipient. Individuals cannot receive Medicaid benefits under more than one assistance group, but can have their income included in more than one assistance group.

Filer Rule: If the individual being tested for eligibility expects to file a tax return for the tax year in which eligibility is being determined and does not expect to be claimed as a tax dependent by someone else, the SFU includes the: 1. individual, 2. individual’s spouse, if any, even if the individual and the individual’s spouse are living separately and filing a joint tax return, and 3. all claimed tax dependents of the individual living inside or outside of the household.

Tax Dependent Rule: If the individual being tested for eligibility expects to be claimed as a tax dependent for the tax year in which eligibility is being determined, the SFU includes the: 1. individual, 2. individual’s spouse, even if the individual and the individual’s spouse are living separately and filing a joint return, 3. tax filer, 4. tax filer’s spouse, if any, even if the tax filer and tax filer’s spouse are living separately and filing a joint return, and 5. all claimed tax dependents of the tax filer living inside or outside of the household. Note: If one of the following exceptions apply, the individual’s SFU will be determined based on non-filer rules: 1. the individual is claimed as a tax dependent by someone other than a parent or their spouse. 2. the individual is a child living with both parents who expect to file separate tax returns. 3. the individual is a child claimed as a tax dependent by a non-custodial parent.

Non-Filer Rule: If the individual being tested for eligibility is an adult that does not expect to file a tax return and does not expect to be claimed as a tax dependent by someone else, the SFU includes the: 1. individual, 2. individual’s spouse, if any, living in the household, and 3. individual’s children (biological, adopted and step) living in the household that are under the age of 19, or age 19 or 20 enrolled in school full-time.