Will an individual owe Additional Medicare Tax on all wages, compensation, and/or self-employment income or just the wages, compensation, and/or self-employment income in excess of the threshold for the individual’s filing status?
Answer:
An individual will owe Additional Medicare Tax on wages, compensation, and/or self-employment income (and that of the individual’s spouse if married filing jointly) that exceed the applicable threshold for the individual’s filing status.
For married persons filing jointly the threshold is $250,000, for married persons filing separately the threshold is $125,000, and for all others the threshold is $200,000.
For married persons filing jointly the threshold is $250,000, for married persons filing separately the threshold is $125,000, and for all others the threshold is $200,000.
Interested in more Medicare Tax Additional Questions?
- When does Additional Medicare Tax start?
- What individuals are subject to the Net Investment Income Tax?
- What wages are subject to Additional Medicare Tax?
- What Railroad Retirement Tax Act (RRTA) compensation is subject to Additional Medicare Tax?
- Will Additional Medicare Tax be withheld from an individual's wages?
