The president’s budget, which will be released Thursday, proposes raising Medicare taxes from 3.8% to 5% on annual income above $400,000, and eliminating a loophole business owners and higher-earners can exploit to avoid additional taxes, according to a White House fact sheet.
Biden’s plan would also help bolster Medicare reserves through some $200 billion in prescription drug reforms over the next decade by allowing the insurance program to negotiate costs on more medications and sooner after they come to market.Bloomberg.com 3-7-23
By the way, the net investment income tax, also known as the “unearned income Medicare contribution surtax,” is an additional 3.8% tax applied to net investment income as of 2021.
The POTUS doesn’t know anything that’s in the big tax and spend proposal he’s making. He just reads the announcement he is given.
I get a laugh at the idea thr tax increase is only on the “wealthy” and that is those above 400k. That used to be wealth but no longer. Wealth is not a 400k annual income.
The rules are ridiculously complex, and one result is that only a small minority of us who are not CPAs or lawyers understand them. Another result is many of our leaders, including the POTUS don’t understand them either.