When tax time rolls around, figuring out which types of income you need to report to Uncle Sam can be confusing. Adjusted gross income, taxable income, investment income, and interest income — all of these have an effect on your tax liability. Understanding what each calculation involves can help you minimize what you owe or develop a better tax strategy for next year. Let’s take a closer look at what is considered taxable income, how to calculate it, what effect it has on your tax rate, and how to reduce ...