Internal Revenue Service United States Department of the Treasury
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Affordable Care Act

Premium Tax Credit

Household Income

Taxpayers' household income is the total of the taxpayers' modified adjusted gross income (MAGI), the taxpayer's spouse's MAGI if married and filing a joint return, and the MAGI of all dependents required to file a federal income tax return.

Example

David and Melinda are Married Filing Jointly taxpayers. They have one child, Philip, age 17, whom they claim as a dependent. Philip works part time and has a filing requirement. David and Melinda's household income calculation would include their modified adjusted gross income, as well as Philip's modified adjusted gross income.