Individual Income Tax Formula: Gross Income (does not include deferred and excluded/tax-exempt items) (Deductions for AGI) Adjusted Gross Income (AGI) (Deductions from AGI) (1.) Greater of itemized or Standard Deductions (2.) Deduction for Qualified Business Income (3.) Charitable Contribution Deduction for Taxpayers Who Do Not Itemize Taxable income * Tax Rates (see brackets) Income Tax Liability Other Taxes Total Tax (Credits) (Prepayments) Tax Due/ (Refund)