5 higher taxes for wealthy taxpayers
It's not a good time to be rich when it comes to taxes. Wealthy taxpayers faced several higher taxes thanks to tax law changes in 2012.
The American Taxpayer Relief Act of 2012, also known as the fiscal cliff tax bill, raised tax rates on wealthy individuals' ordinary and investment income. That legislation also reduced some ways that richer taxpayers can lower their now higher taxes.
Two Affordable Care Act provisions aimed at wealthier individuals also took effect in 2013.
And while all are aimed at higher-income taxpayers, there is no particular income level under the new tax laws to determine what makes a person rich. "Pretty much a different salary level is applied to different types of income," says Mark Luscombe, CPA and principal federal tax analyst for the accounting firm CCH Inc.
Here's a look at these five tax situations and the income levels to which they apply.