Forty-four percent of dealmakers say “yes” that favorable tax treatment of carried interest income should be eliminated, while 56% say “no,” according to Semaphore’s survey. Here’s the essence of the debate around carried interest income and how it should be taxed, if at all: There are two camps, Citco Group managing director Tim Eberle explained to me. And not only are they not using a so-called tax loophole, they’re actually following the letter of the law. So, to recap: Get ready for a year of loud debate over taxing carried interest income. And part of the debate has long linked back to an argument of definitions—is the “carried interest loophole” a loophole, or just the letter of the law?

Source: Forbes February 12, 2024 17:07 UTC