Here’s how to avoid rampant confusion about MAGI, tax-free Roth IRA withdrawals and charitable donations using IRA funds. With 2026 almost here, it’s time for New Year’s tax resolutions. This year, I suggest readers focus on three issues likely to confuse them, based on Tax Report’s reader mail and comments. These are MAGI, or modified adjusted gross income; rules for tax-free Roth IRA withdrawals; and the way charitable donations of IRA funds can lower required IRA payouts. Yes, these topic are complicated—but knowing about them could help snag a tax break or avoid a pitfall. I hope 2026 brings you as few tax troubles as possible. Here are resolutions to consider: I WILL remember that MAGI is a shape-shifter. I WON’T ignore rules about tax-free Roth IRA withdrawals. I WILL understand how…
Here’s how to avoid rampant confusion about MAGI, tax-free Roth IRA withdrawals and charitable donations using IRA funds. With 2026 almost here, it’s time for New Year’s tax resolutions. This year, I suggest readers focus on three issues likely to confuse them, based on Tax Report’s reader mail and comments. These are MAGI, or modified adjusted gross income; rules for tax-free Roth IRA withdrawals; and the way charitable donations of IRA funds can lower required IRA payouts. Yes, these topic are complicated—but knowing about them could help snag a tax break or avoid a pitfall. I hope 2026 brings you as few tax troubles as possible. Here are resolutions to consider: I WILL remember that MAGI is a shape-shifter. I WON’T ignore rules about tax-free Roth IRA withdrawals. I WILL understand how to coordinate charitable gifts of IRA funds with required IRA withdrawals.