Portfolio Income

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Related to Portfolio Income: Passive income

Investment Income

The income one derives from capital gains, dividends, and other activities related to the purchase and sale of securities. This differs from wages and salary primarily in that one does not need to work for investment income. One can manage one's investments oneself, or one can hire a money manager to do it. Both individuals and companies can have investment income; indeed, a publicly-traded company must list its investment income on its balance sheet. Investment income is often taxed differently from other income. See also: Capital gains tax.

Portfolio Income

Portfolio income is not passive income for the passive loss rules. Portfolio income includes dividends, interest, capital gains from property that produces portfolio income, and royalties.
References in periodicals archive ?
was a closely held corporation, subject to the rule that passive losses of these corporations can offset active income but not portfolio income (Sec.
To understand how tax and interest rates combine to drive up tax bills, compare the tax bite on portfolio income in 2014 to 2004, after the last major market rebound.
The population was stratified into classes based on industry, type of return, size of total assets, and size of certain receipt or income amounts from both ordinary business income (loss) and portfolio income (loss).
One good sign is that bond portfolio income, on which disability insurers depend heavily, has remained positive.
Total Portfolio income is stable with full year 2010 Total Portfolio net operating income expected to be 1.
59) Second, a nation must have exclusive prescriptive jurisdiction over portfolio income derived anywhere in the world from capital accumulated within its territory.
They suggest a new approach for taxing royalty and fee income earned abroad so that high-technology production in the US is not penalized by comparison with production abroad, and urge the US to take the lead in creating a cooperative international system that would discourage underreporting of foreign portfolio income.
The tax attributes passed through from a trading partnership are neither passive nor portfolio income.
The changes recharacterize a percentage of certain portfolio income and expense as passive income and expense (that is, self-charged items) when a taxpayer engages in a lending transaction with a partnership or an S corporation (that is, a pass-through entity) in which the taxpayer owns an interest and the loan proceeds are used in a passive activity.
As such, it would include any so-called portfolio income that is allocated to a taxpayer from a passive activity.
Shifting portfolio assets to minor children through gifting can also reduce the marginal tax rate at which the portfolio income is taxed.
The balance on portfolio income registered a deficit of $71 billion last year, significantly larger than the $54 billion deficit recorded in 1994 (table 8).

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