Why You're Stuck Paying This Hated Tax at Least 1 More Year
This time last year, many investors believed that many unpopular tax provisions would be history by now. The election of President Donald Trump came with the promise of tax reform, with the goal of simplifying the tax laws.
One of the provisions many had expected to disappear was the net investment income tax. This surtax came about as a result of the legislation that started Obamacare, as part of a broader set of revenue-raising measures that included a Medicare surtax on wage income above certain limits. Although the net investment income tax doesn't hit every investor, focusing instead on high-income taxpayers, Republican dislike for the Affordable Care Act quickly put the NIIT on the endangered list. Yet due to ongoing wrangling in Washington, nothing has happened with the NIIT, so investors will almost certainly have to deal with it once again when they file their 2017 tax returns early next year.
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Source: Fool.com
