|
John,
Wall Streets' power and greed damages our democracy and one part of this is the carried interest tax loophole which allows millionaires and billionaires to pay nearly half the tax rate they should, one that’s even lower than teachers, firefighters, and nurses.
Carried interest is the salary earned by hedge fund managers and private equity funds to manage other people’s money and they make millions doing it.
The term carried interest actually comes from centuries ago when ships transported real goods, leading the captain to charge a “carried interest” for doing so. Now, even though this practice is long gone, billionaire hedge fund managers get away with paying taxes on their salary at the capital gains rate.
When the Inflation Reduction Act was first released it took some steps towards addressing this loophole, but at the last moment, the provision was removed by Senator Kyrsten Sinema, in a blatant giveaway to some of her largest donors made up of the same hedge fund managers who benefit from the loophole.
There’s no reason why the super-rich should pay taxes at the capital gains rate for managing someone else's money, it is quite literally the opposite of a progressive taxation system.
We already know that the banks and billionaires will fight us every step of the way and they'll spend millions on high price lobbyists and political donations to preserve the carried interest loophole.
We must continue putting pressure on the one person in the way of ending this scam that allows Wall Street fund managers to pay a lower tax rate than working people.
Thanks for working with us to end this Wall Street scam.
- Tre
Tre Graves
Digital Organizing Coordinator
Democracy for America
