Section 1411 of the IRS Code imposes the Net Investment Income Tax (NIIT). Find answers to questions about how the code may affect your taxes.

Feb 25, 2025 · What is net investment income tax (NIIT)? The net investment income tax is a 3.8% tax you must pay if your modified adjusted gross income (MAGI) exceeds a certain threshold.

Dec 9, 2025 · The net investment income tax (NIIT) is a surtax on high amounts of investment income. Our guide covers its rates, thresholds and other rules.

As an investor, you may owe an additional 3.8% tax called net investment income tax (NIIT). But you’ll only owe it if you have investment income and your modified adjusted gross income (MAGI) goes …

The NIIT applies to income from a trade or business that is (1) a passive activity, as determined under § 469, of the taxpayer; or (2) trading in financial instruments or commodities, as determined under § …

Form 8960 Instructions PDF provides details on how to figure the amount of investment income subject to the tax. If an individual has too little withholding or fails to pay enough quarterly estimated taxes to …

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A complete 2025–2026 NIIT guide: IRS 3.8% tax rules, income thresholds, what counts as net investment income, and how to report on Form 8960.

Feb 3, 2025 · One tax to keep on your radar is the Net Investment Income Tax (NIIT), which imposes a 3.8% levy on your investment earnings over certain thresholds. Here's what you need to know about …

NIIT was established in 1981 by Rajendra S. Pawar and Vijay K. Thadani, graduates from IIT [5] Delhi, with one million rupees. NIIT conceived a franchising model in IT education for the very first time, …