How the Net Investment Income Tax Hits Passive Investors

In Episode 119 of The Tax Strategy Podcast, Lucas and Luna break down the Net Investment Income Tax (NIIT) — a 3.8% surtax that catches many high-earning investors off guard. They explain how the tax applies to capital gains, dividends, and rental income above $200,000 (single) or $250,000 (married filing jointly). Using a concrete example of a software engineer who sold company stock in 2026, they show how the NIIT can add thousands to your tax bill and offer strategies to minimize it, including timing sales and using municipal bonds. No fluff, just actionable tax planning for investors. #NetInvestmentIncomeTax #NIIT #PassiveInvesting #CapitalGains #Dividends #RentalIncome #TaxSurtax #HighEarners #TaxPlanning #InvestmentTax #MunicipalBonds #RealEstate #ModifiedAdjustedGrossIncome #MAGI #Form8960 #Finance #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo