Notice to Borrower: Recapture Tax
“Adjusted Gross Income” is the sum of all taxable sources of income less any adjustments allowed. This is the equivalent of line 35 of Form 1040 for Tax Year 2002. On Form 8814, this amount is taken from line 4. “Salaries and Wages” is the amount generally reported to the taxpayer on Form W-2 and shown on line 7 of Form 1040. ................
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