Gina is a single taxpayer and an active partner in the GMA LLC. Gina's Schedule K-1 reflects a $20,000 ordinary income share, $2,000 of interest income, and a $10,000 guaranteed payment for services. Gina's self-employment income from other sources and modified adjusted gross income is about $300,000. With respect to the income from the LLC, Gina is subject to the 0.9% additional Medicare tax on $30,000 and the 3.8% net investment income tax of
$2,000.

Question

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Gina's self-employment income from other sources and modified adjusted gross income is about $300,000. This amount is above the threshold for the 0.9% additional Medicare tax and the 3.8% net investment income tax.

Gina Is a Single Taxpayer and an Active Partner in the GMA