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a joint return or whether the spouse will be claimed as a tax dependent by the applicant/recipient.

If the adult Medicaid applicant or recipient is to be claimed as a tax dependent, please, refer to IHCPPM 3205.15.00.

Example 1: Jenny, who does not plan to file a federal tax return, is applying for Medicaid eligibility, and lives with her husband Shawn, who also does not plan to file. Jenny and Shawn live with their three children: Anna, Joe, and Peter. Anna and Joe are their shared biological children. Peter is Shawn’s biological son from a previous relationship. Jenny also has another biological son, David, who does not live with them.

Since neither adult plan to file a federal tax return and are not claimed as tax dependents, their AGs are determined in accordance with the rules for non-filers and non-dependents. Jenny’s AG consists of herself, Shawn, Anna, Joe, and Peter. Her two biological children and one stepchild living with her are all included, but since her other son David does not live with her, he is not.

Shawn’s AG consists of himself, Jenny, Anna, Joe, and Peter. His three biological children living with him are all included, but since his stepson David does not live with him, he is not. Shawn’s AG consists of himself, Jenny, Anna, Joe, and Peter. His three biological children living with him are all included, but since his stepson David does not live with him, he is not included.

Example 2: Karen and her husband Stan live with Karen’s elderly and disabled mother, Susan, their 18-year-old daughter, Emma, and Emma’s infant son, Jeffrey. Karen plans to file a federal tax return and will claim all of them as her dependents.

Karen is applying for coverage for herself and for Jeffrey. Since Karen is a tax filer, her AG consists of herself and all those she will claim as dependents: Susan, Stan, Emma, and Jeffrey. As Karen’s tax dependents, Susan, Stan, and Emma would all have the same AG as Karen if any of them were to be considered for Medicaid eligibility under a MAGI category of assistance.

Jeffrey, however, has a different AG than Karen because he falls into one of the exceptions for tax dependents, as he is a dependent claimed by someone other than his biological, adopted, or stepparent or spouse. His AG is determined in accordance with the rules for non-filers and non-dependents. Therefore, Jeffrey’s AG consists of only himself and his mother Emma, since she lives with him and he is under the age of 19.

Example 3: Bill and his partner Kim live together with their four children, all under the age of 19: their two shared biological children Lisa and Gabriel, Kim’s biological daughter Cindy, and Bill’s biological son Levi.