Who pays the 3.8 Obamacare tax?
individual taxpayers
Effective Jan. 1, 2013, individual taxpayers are liable for a 3.8 percent Net Investment Income Tax on the lesser of their net investment income, or the amount by which their modified adjusted gross income exceeds the statutory threshold amount based on their filing status.
Is there an Obamacare tax on capital gains?
As with all investments, an additional 3.8% tax applies to capital gains earned by individuals earning at least $200,000, or married couples earning $250,000, to fund the U.S. health-insurance subsidy program known as Obamacare.
What taxes were included in Obamacare?
Full List of Obamacare Tax Hikes
- $123 Billion: Surtax on Investment Income (Takes effect Jan.
- $86 Billion: Hike in Medicare Payroll Tax (Takes effect Jan.
- $65 Billion: Individual Mandate Excise Tax and Employer Mandate Tax (Both taxes take effect Jan.
- $60.1 Billion: Tax on Health Insurers (Takes effect Jan.
How did the Affordable Care Act affect taxes?
Pre-ACA, taxpayers could deduct medical expenses exceeding 7.5 percent of income when calculating taxable income. The ACA increased the threshold to 10 percent of income, and later legislation temporarily lowered the limit back to 7.5 percent until 2021, when the threshold is scheduled to in-crease to 10 percent.
How is the 3.8 Obamacare tax calculated?
The net investment income tax is a 3.8% surtax on a portion of your modified adjusted gross income (MAGI) over certain thresholds….Do I Need to Pay the Net Investment Income Tax?
| Filing Status | Income Threshold |
|---|---|
| Single or head of household | $200,000 |
| Married filing jointly | $250,000 |
How is the 3.8 ObamaCare tax calculated?
How much did Obamacare cost taxpayers?
This cost includes gross costs of $1.993 trillion, which includes spending on subsidies for insurance obtained through the exchanges, tax credits to small businesses and expanded Medicaid coverage, minus revenues of $643 billion, which includes penalty payments from those who don’t obtain insurance and employers who …
What income is subject to 3.8 net investment tax?
How can I avoid paying taxes on the sale of my home?
Do I have to pay taxes on the profit I made selling my home?
- If you owned and lived in the place for two of the five years before the sale, then up to $250,000 of profit is tax-free.
- If you are married and file a joint return, the tax-free amount doubles to $500,000.