Patient Protection & 2010 Reconciliation Act

[Burke]

A very brief synopsis of one provision in this bill covers a 3.8% unearned income tax (for Medicare) on net investment income beginning in 2013. This covers interest, dividends, annuities, royalties, rents, and "certain other income and gains not generated in the ordinary course of an active trade or business..." So I am assuming since it says "net" that if you have net losses on stock trades, these can be used to offset other investment income? Be interesting to see if it is limited to $3000 per year for this particular item. This tax appears to apply only to AGI's over $200K for individuals and $250K for MFJ, and limited to the LESSER of net investment income and the amount which exceeds the thresholds.

[Bucky]

I think this is just for singles over $200K and married over $250K earnings. Let's hope the whole thing gets repealed and they work for real reform not give aways and more taxes. Won't happen until we remove all the coruption in DC. That won't happen until we clean house and start fresh with term limits etc. Whoops Was I breaking the rules here?
Bucky

[Burke]

I think this is just for singles over $200K and married over $250K earnings.

CCH Special Report definitely says AGI, not earnings. On the tax itself, I don't have a problem with it. I would like to see Soc Sec tax on wages at those income limits. If we never tax anything more than we are now, we can just chunk the whole system.