All,
This is a subject that I am pretty confident we have not discussed before. I recently received a publication in the mail from a publisher that I have a separate subscription to for a different magazine. I am still uncertain why he sent this to me but I have some idea's. This particular publication is strictly for land owners who plan on selling or managing the timber that is on their property. One section of the magazine answers questions concerning taxes.... in particular the new Net Investment Income tax of 3.8 percent. This tax applies to single taxpayers with an adjusted gross income of more than $200,000, or couples with more than $250,000 of adjusted gross income, and apparently must be a passive business asset. I am not an expert at this but the way I see it is the land owners in the Pine Barrens such as Haines and others must have to pay this tax when the timber on their land is taken with no work on their part. I assume that would mean if a forester is hired to remove timber the tax must be paid.
Now here is what really interested me about this tax. It became effective on January 1, 2013 and was enacted as part of the 2010 healthcare reform law. If anyone wondered how low income individuals can get healthcare so cheap this is why. Semi affluent or affluent landowners who try to make a dime on the timber they own are being taxed to pay for it. Nothing is free in this world and anytime large groups of individuals get money from the government for free, someone is paying the price.
Guy
This is a subject that I am pretty confident we have not discussed before. I recently received a publication in the mail from a publisher that I have a separate subscription to for a different magazine. I am still uncertain why he sent this to me but I have some idea's. This particular publication is strictly for land owners who plan on selling or managing the timber that is on their property. One section of the magazine answers questions concerning taxes.... in particular the new Net Investment Income tax of 3.8 percent. This tax applies to single taxpayers with an adjusted gross income of more than $200,000, or couples with more than $250,000 of adjusted gross income, and apparently must be a passive business asset. I am not an expert at this but the way I see it is the land owners in the Pine Barrens such as Haines and others must have to pay this tax when the timber on their land is taken with no work on their part. I assume that would mean if a forester is hired to remove timber the tax must be paid.
Now here is what really interested me about this tax. It became effective on January 1, 2013 and was enacted as part of the 2010 healthcare reform law. If anyone wondered how low income individuals can get healthcare so cheap this is why. Semi affluent or affluent landowners who try to make a dime on the timber they own are being taxed to pay for it. Nothing is free in this world and anytime large groups of individuals get money from the government for free, someone is paying the price.
Guy
