DISQUS

Allan Grinshtein · 2 years ago

This is absolutely disgusting.

Brian · 2 years ago

How fitting, a senator from a state who's main economy is drowning due to lack of poor management that is also finding themselves becoming targets, is out looking for handouts. Detroit is a great symbol of how Michigan works, the only metro area in the US losing population.

Stephen Larson · 2 years ago

Allan Grinshtein comment that "This is absolutely disgusting." as well as the characterization in the posting itself that this bill applies to anything more than the managers of these funds, is what is disgusting. The true "investors" in these funds will not be taxed at the higher rate.

"The legislation clarifies that any income received from a partnership, capital or otherwise, in compensation for services is ordinary income for tax purposes. As a result, the managers of investment partnerships who receive a carried interest as compensation will pay regular income tax rates rather than capital gains rates on that compensation. The capital gains rate will continue to apply to the extent that the managers’ income represents a reasonable return on capital they have actually invested in the partnership."

These managers should never have gotten the 15% rate in the first place, they were being paid compensation.

So stop crying and pay your fair share.

BGentry · 2 years ago

If this passes, it would be interesting to know how much extra revenue is gained (or lost) in Washington, and if there are fewer startups being funded because of it. I hope VentureBeat continues to follow the story and the impact.