Net Investment Income Tax (NIIT) and Ordinary dividends I'm aware and understand that Capital gains tax can be taxed at 20% + 3.8% due to NIIT.
Is it true that NIIT (Net Investment Income Tax) can result in somebody having to pay taxes at higher than highest tax bracket (39.6% I believe) on ordinary dividends which, for such a person, will be taxed at 39.6% anyway without NIIT?
Thanks |