Proposed Provision: F10. Expand the tax on net investment income (NII) as defined in the Affordable Care Act (ACA) to cover earnings from active S corporation holders and active limited partners. Apply a 12.4-percent tax on this expanded definition of NII, payable to the OASI and DI Trust Funds with specified thresholds, effective for 2026 and later. The unindexed thresholds for this provision are $400,000 for a single filer and $500,000 for a married couple filing jointly. The NII tax would apply to the lesser of NII and the excess of modified adjusted income (MAGI) above the unindexed thresholds.

OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)

Year Current Law Provision
2025169169
2026149149
2027131140
2028113131
202995122
203078113
203160104
20324395
20332687
2034979
2035-971
2036-2762
2037-4553
2038-6344
2039-8335
2040-10225
2041-12215
2042-1435
2043-164-5
2044-185-15
2045-206-25
2046-228-36
2047-250-46
2048-272-57
2049-295-68
2050-317-79
2051-340-90
2052-363-101
2053-386-112
2054-409-124
2055-433-136
2056-457-148
2057-481-160
2058-505-173
2059-530-186
2060-556-200
2061-582-214
2062-609-229
2063-636-243
2064-664-259
2065-692-274
2066-721-290
2067-750-306
2068-780-323
2069-810-340
2070-840-357
2071-871-374
2072-903-392
2073-935-410
2074-967-429
2075-1000-448
2076-1035-468
2077-1070-488
2078-1106-509
2079-1142-530
2080-1180-552
2081-1219-574
2082-1258-596
2083-1298-618
2084-1338-641
2085-1380-665
2086-1423-689
2087-1466-713
2088-1510-737
2089-1554-761
2090-1599-785
2091-1643-809
2092-1687-832
2093-1731-855
2094-1774-878
2095-1816-901
2096-1858-923
2097-1900-945
2098-1941-966
2099-1982-987
2100-2022-1009
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