This year, mike's distributive share from power Partnership includes $24,000 of interest income, $20,000 of dividend income, and $76,000 ordinary business income.
A. Assume that mike materially participates in the partnership. How much of his distributive share from powerPartnership is potentially subject to the Medicare contribution tax?
B. Assume that mike does not materially participate in the partnership. How much of his distributive share from powerPartnership is potentially subject to the Medicare contribution tax?