ObamaCare Taxes to hit your Wallet in 2013

GET READY TO PAY FOR YOUR “FREE” HEALTH CARE Late on Friday when Americans were paying less attention to the news, the IRS released new tax rules for 2013 to finance ObamaCare. These taxes will not only hit the “rich”, but also small businesses … and ultimately, most Americans. Why? Because when you raise taxes on activity, you lessen the activity. If small businesses have to pay more in taxes, they will have less money to hire Americans or to invest in new machinery, etc. Who will work harder or invest more if government is just going to confiscate it in the form of taxes? The Obamacare tax hikes will also affect Americans who sell their houses or whose earnings come from capital gains (profit from the sell of a capital asset, i.e., mutual funds, bonds, stocks, real estate, etc.) Americans benefit when capital gains taxes are low, because that incentivizes people with money “to take risks and invest in the economy…which will create jobs for others…and get the economy rolling.” But liberal minds do not care about this, they care more about destroying the so-called rich and inciting class warfare.

Reuters reported yesterday: The Internal Revenue Service has released new rules for investment income taxes on capital gains and dividends earned by high-income individuals that passed Congress as part of the 2010 healthcare reform law. The 3.8 percent surtax on investment income, meant to help pay for healthcare, goes into effect in 2013. It is the first surtax to be applied to capital gains and dividend income. The tax affects only individuals with more than $200,000 in modified adjusted gross income (MAGI), and married couples filing jointly with more than $250,000 of MAGI. The tax applies to a broad range of investment securities ranging from stocks and bonds to commodity securities and specialized derivatives. The 159 pages of rules spell out when the tax applies to trusts and annuities, as well as to individual securities traders. Released late on Friday, the new regulations include a 0.9 percent healthcare tax on wages for high-income individuals. [...] To illustrate when the tax applies, the IRS offered an example of a taxpayer filing as a single individual who makes $180,000 in wage income plus $90,000 from investment income. The individual’s modified adjusted gross income is $270,000. The 3.8 percent tax applies to the $70,000, and the individual would pay $2,660 in surtaxes, the IRS said.

Read more: http://www.reuters.com/article/2012/12/03/us-usa-tax-irs-idUSBRE8B21HA20121203

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