Here’s a New Tax on Savings You Didn’t Know About
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Dec. 10 (Bloomberg) -- In the debate over the loomingfiscal cliff, U.S. President Barack Obama often plays down anyadverse economic impact from letting the 2001 and 2003 tax cutsexpire for high-income Americans, claiming that the top taxrates would merely return to where they were during the Clintonyears.
Unfortunately, the president’s claim is incorrect becausehe ignores the impending arrival of the unearned income Medicarecontribution tax, which will further raise tax rates on incomefrom saving.