2013 3.8% Health Care Tax

[Coronita]

All you prospective pigglords, don’t forget about this one…

http://www.schwabe.com/showarticle.aspx?Show=12149

For tax years starting on or after January 1, 2013, the 2010 Health Care Bills impose a new 3.8% “Medicare Tax” on “net investment income” in excess of specified amounts. The tax is generally levied on nonbusiness income from interest, dividends, annuities, royalties, rents, and capital gains. This memo will summarize the new tax (in highly simplified form) and offer some related observations which may illuminate how the tax works.

Note that for individual taxpayers engaged in passive activities, the post-2013 interplay of the income and Medicare Tax mean that current income tax reporting for aggregation of passive activities will likely have lasting (and possibly adverse) significance for the Medicare Tax in later years.

Each person will be taxed – in addition to his/her income tax – on 3.8% of the amount that the following income causes adjusted gross income to exceed $250,000 (for joint filers) or $200,000 (for non-married filers):

1. Nonbusiness interest, dividends, annuities, royalties, and rents;
2. Other gross income of a passive activity or a business trading financial instruments;
3. Net gain on the disposition of nonbusiness property (including net gain indirectly derived from disposition of a partnership interest or S corporation stock); and
4. Investment of any business’s working capital.

Thank you big government, medicare, and baby boomers who are going to suck this country dry..

[SD Realtor]

Obviously you are a wealthy, fox news watching, war mongering, homophobic, tea bagger party, racist. Shut up and get with the program because there were no other alternatives. Damn 1%er…

[briansd1]

[quote=flu]
Each person will be taxed – in addition to his/her income tax – on 3.8% of the amount that the following income causes adjusted gross income to exceed $250,000 (for joint filers) or $200,000 (for non-married filers):
[/quote]

3.8% of the excess, not the total.

Seems reasonable to me.

[Anonymous]

If a genie granted me three wishes, I would likely “waste” one of them on the following:

“Give everyone in the United States the ability to understand the word marginal.”

I do agree that the baby boomers are going to “suck us dry.”

Can the “Greatest Generation” really be so great if their offspring ruins everything?

[enron_by_the_sea]

SCOTUS is probably taking this down in anyway! Let’s talk about it only if this stands after June …

[Coronita]

[quote=pri_dk]If a genie granted me three wishes, I would likely “waste” one of them on the following:

“Give everyone in the United States the ability to understand the word marginal.”

I do agree that the baby boomers are going to “suck us dry.”

Can the “Greatest Generation” really be so great if their offspring ruins everything?[/quote]

If a genie granted me one wish, it would be that everyone understand that paying any additional taxes (even if it is MARGINAL) still sucks since added together it’s a wealth building detractor, and for those that think it’s not a big deal, should be forced to pay it for everyone else. But then again, we are in a nanny state where no one wants to pay more for anything, except we expect everyone else to pay for it.

Off to my doc appointment….

[sdrealtor]

I would be happy to pay that. Once you get over about 100K you stop paying SS so this doesnt seem like such a big deal to me if it actually helps bring health care to all. Unfortunately in the most wealthy country in the world not everyone can just head off to the their drs’ appointment.

[briansd1]

[quote=sdrealtor]I would be happy to pay that. Once you get over about 100K you stop paying SS so this doesnt seem like such a big deal to me if it actually helps bring health care to all. [/quote]

I’m also thinking along those lines.

[quote=sdrealtor]
Unfortunately in the most wealthy country in the world not everyone can just head off to the their drs’ appointment.[/quote]

The irony here is that flu is the sick one, the leech that is sucking more out of the heath care system than he’s putting in.

The truth is that health care cost, as a proportion of the economy is an effective tax on all of us. The best way to reduce that “tax” is to provide coverage for everyone while capping or reducing health care costs, as a proportion of the economy.

[Coronita]

[quote=briansd1][quote=sdrealtor]I would be happy to pay that. Once you get over about 100K you stop paying SS so this doesnt seem like such a big deal to me if it actually helps bring health care to all. [/quote]

I’m also thinking along those lines.

[quote=sdrealtor]
Unfortunately in the most wealthy country in the world not everyone can just head off to the their drs’ appointment.[/quote]

The irony here is that flu is the sick one, the leech that is sucking more out of the heath care system than he’s putting in.

The truth is that health care cost, as a proportion of the economy is an effective tax on all of us. The best way to reduce that “tax” is to provide coverage for everyone while capping or reducing health care costs, as a proportion of the economy.[/quote]

first off brian. fvck you.

second off, I pay for my health care insurance, both as being a w2 employer who provides my health care, and also by my supplemental insurance policy that I bought and paid for myself, and yes with the high deductibles and the high premiums I pay more for insurance than the insurance companies pays the treatment facilities. But it’s still worthwhile to pay for the insurance because they, as a private entity, negotiated the rates with the hospital and doctors.

But that’s exactly the point. People *should* pay for their insurance. Everyone… So don’t tell be about being a leech. you fvcking hypocritic, who don’t even bother paying internet sales taxes, you tax cheat…

Third, it’s too bad we don’t have a better universal health plan, because maybe there would then be a treatment plan for you… apparently you were born with your ass where your head is suppose to be.

[briansd1]

[quote=enron_by_the_sea]SCOTUS is probably taking this down in anyway! Let’s talk about it only if this stands after June …[/quote]

No, they won’t. They are just playing the losing side before they turn on the them and uphold the law.

There’s a lot of politics at play here. We shall see.

Planned Parenthood v. Casey is when Kennedy changed his mind and uphelp Roe v. Wade.
http://en.wikipedia.org/wiki/Planned_Parenthood_v._Casey

[poorgradstudent]

I for one feel quite sorry for those people whose gross exceeds 200k and will be slightly affected by this.

Oh, no, wait, I don’t.

[bearishgurl]

[quote=flu]… I pay for my health care insurance, both as being a w2 employer who provides my health care, and also by my supplemental insurance policy that I bought and paid for myself, and yes with the high deductibles and the high premiums I pay more for insurance than the insurance companies pays the treatment facilities. But it’s still worthwhile to pay for the insurance because they, as a private entity, negotiated the rates with the hospital and doctors….[/quote]

flu, even though I have a $5K/$8K HDHP and no supplemental policy, I agree that it is still worth it to pay the premiums for the negotiated rates alone.

[briansd1]

[quote=poorgradstudent]I for one feel quite sorry for those people whose gross exceeds 200k and will be slightly affected by this.

Oh, no, wait, I don’t.[/quote]

Gross exceeds $200k AND have passive income.

Gosh, Pelosi and Feinstein who are multi-millionaires themselves voted for the law.

[briansd1]

flu, please don’t take it personally.

It’s common parlance to describe the very nature of insurance.

With health insurance, you have the leeches (those with chronic diseases, cancer, families with kids who use maternity services, etc…) and the golden geese, like me, who never go to the doctor’s.

In fact, I have a little pink rash on my face that won’t go away. I don’t want to go see the doctor who will just tell me to use a hydrocortisone cream. Anyway, hope it’s not the beginning stage of chronic exzema that will forever mar my good looks. 😉

[bearishgurl]

[quote=briansd1]…In fact, I have a little pink rash on my face that won’t go away. I don’t want to go see the doctor who will just tell me to use a hydrocortisone cream. Anyway, hope it’s not the beginning stage of chronic exzema that will forever mar my good looks. ;)[/quote]

Try Benadryl cream …

[Author]

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