Based on our interpretation of the code, in this example all unearned income, loss and expense is zero, and NII matches unearned income or loss calculated in gross income.

FORBES: IRS Should Fix Net Investment Tax Proposed Regulations

Other improbable-sounding ploys work because the courts have blessed some taxpayer-friendly interpretation of a complicated code.

FORBES: Magazine Article

The tax code in incredibly vague and open to interpretation.

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