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Earned Income
Income derived from active participation in a business or trade, typically including wages, salaries, commissions, and tips.
Unearned Income
Refers to money received that does not come from employment, work, or business activities, such as dividends, interest, or government benefits.
Medical Deduction
An itemized deduction on personal income taxes for expenses related to healthcare beyond a certain percentage of adjusted gross income.
Adjusted Gross Income
Adjusted Gross Income (AGI) refers to an individual's total gross income minus specific deductions, used to determine taxable income on an income tax return.
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