I sold a rental property for which I am paying capital gains taxes on the sale. However, I am also being assessed additional net investment income taxes on part of my profits from the sale. Is this correct? Isn't this double taxation on the same transaction?
You'll need to sign in or create an account to connect with an expert.
The net investment income tax (NIIT) is a 3.8% tax that kicks in if you have investment income and your income exceeds $200,000 for single filers, $250,000 for those married filing jointly or $125,000 for those married filing separately
Net Investment Income Tax (NIIT) is additional income tax on investment income when your AGI is over a certain threshold that depends on your filing status. In effect it's a higher tax rate on investment income of high-income taxpayers. It is not double taxation.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
dprdms
New Member
Juancar
New Member
Cr81pp
New Member
KC4279
New Member
Sam Khan
Level 3
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.