To put it simply, carried interest is a loophole that allows certain money managers – hedge funds – real estate partnerships – investment partnerships – that sort of stuff – to convert ordinary income into capital gains. It's been on the books for years, and everyone talks about ending it but nothing gets done. Trump is against it but neither the Senate nor the House version is eliminating it. Former Senator Al Damato was on television railing against it Sunday. Says it's going to cost $100 billion over the next ten years & is tax money that could provide breaks for the middle class
So why isn't it being eliminated? Obama and the Dems did nothing about it, and now it looks like the Republicans won't either.
Quite simple – these money managers are mega-rich and make big campaign donations to everyone.
If you're interested hit the link below for a description, off MSNBC. Stephanie Ruhle is pretty brainless and of course blames the Republicans (haha – ever heard Senator Schumer speak out against it? Champion of the little guy – but he gets big $$$ from Wall Street) but it's a fairly accurate description.
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