### Question
How does Computation of Taxable Income define modified adjusted gross income?


### Answer
Under *26 U.S.C. § 86*, **modified adjusted gross income** is defined as:

> adjusted gross income—



(A) determined without regard to this section and sections 135, 137, 199, 221, 222, 911, 931, and 933, and



(B) increased by the amount of interest received or accrued by the taxpayer during the taxable year which is exempt from tax

#### Citation:
  - *26 U.S.C. § 86*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART II-ITEMS SPECIFICALLY INCLUDED IN GROSS INCOME**

