The 3.8% Tax on Investment Income – How will this work?

Starting on January 1, 2013, there will be a 3.8% tax on some investment income.  How will this work and how will it affect you?  Below is an informative article from the National Association of REALTORS® explaining how this new tax works.

For a more detailed understanding, NAR also has this brochure that explains this new tax in various scenarios:

The 3.8% TaxReal Estate Scenarios & Examples

NAR does suggests consulting with a tax advisor to make sure the tax is applied correctly in your case.

Source: National Association of REALTORS®