Excluded while calculating total income

Estates - One time distributions that have been probated are not included since they're not part of federal gross income

Life insurance policies - Proceeds payments are not included since they're not part of federal gross income

Losses included in U.S. Schedule D

Net worth of assets - Accumulated earnings in an account such as deferred compensation, IRA, etc.

Payments, in-kind payments, or monies received that are otherwise not defined as: Wages Payments in lieu of wages Income Other income Return of capital Gross receipts

U.S. Series E and Series EE bonds - These are considered investment bonds and do not earn interest each year. Instead, the income is recognized federally only at the time the bond matures and the holder cashes it in. In years prior to maturity, there would be no income.

For Schedules C and E, the net profit or loss amount = Massachusetts AGI. The only addback for purposes of calculating total income would be any return of capital. This total income amount is also reduced by certain exemptions that are allowed for:

Taxpayers who are at least age 65 by the end of the tax year

Dependents

Blindness

Certain deductions reported on Massachusetts Schedule Y, Lines 1 through 10