### Question
What does adjusted taxable income mean?


### Answer
**Adjusted taxable income** has the following meaning in *26 U.S.C. § 1212*:

> taxable income increased by the sum of—


(i) the amount allowed for the taxable year under paragraph (1) or (2) of section 1211(b), and


(ii) the deduction allowed for such year under section 151 or any deduction in lieu thereof

#### Citation:
  - *26 U.S.C. § 1212*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter P-Capital Gains and Losses > PART II-TREATMENT OF CAPITAL LOSSES**

