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Plan for added Medicare tax

 

 

Higher income earners always have a few more tax considerations and that's true in 2012. A new 3.8 percent Medicare tax is slated for collection beginning in 2013 on profits from the sale of investment property.

This includes capital gains, dividends, interest payments and, for those who own rental property, net rental income. The tax will apply to individuals with gross income of $200,000 or more or married couples filing jointly with combined gross income of $250,000 or more. If you're in the targeted income brackets, talk with your tax and investment advisers about steps you can take this year to prepare for the new tax.

 

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