The Internal Revenue Service has issued Proposed Regulations under Section 1411 of the Internal Revenue Code providing guidance on the 3.8% additional tax that will be imposed beginning January 1, 2013 on the “net investment income” of certain individuals, estates and trusts. This surtax on unearned investment income was added as a part of the recently enacted health care reform laws.
Basics of the Tax
The new tax applies to individuals, estates and trusts with unearned “net investment income” in excess of certain amounts.
Please see full alert below for more information.
Firefox recommends the PDF Plugin for Mac OS X for viewing PDF documents in your browser.
We can also show you Legal Updates using the Google Viewer; however, you will need to be logged into Google Docs to view them.
Please choose one of the above to proceed!
LOADING PDF: If there are any problems, click here to download the file.
Topics: Capital Gains, Deferred Compensation, Dividends, Executive Compensation, Exemptions, IRS, Net Investment Income, Private Trusts, Proposed Regulation
Published In: Finance & Banking Updates, Securities Updates, Tax Updates
DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.
© Ropes & Gray LLP | Attorney Advertising