“PATRIOTIC MILLIONAIRES” JOIN CALL FOR END TO CARRIED INTEREST LOOPHOLE
Trump/Bush/Clinton/Sanders support puts issue front and center of Presidential contest
Washington DC – Today, the Patriotic Millionaires called for an end to the carried interest loophole which allows hedge fund managers to pay capital gains rates on income that logically should be characterized as ordinary income. GOP presidential hopefuls Donald Trump and Governor Jeb Bush recently called for an end to the loophole, offering bi-partisan support for an issue long supported by most Democrats including frontrunners Secretary Hillary Clinton and Senator Bernie Sanders. See the story about Bush’s proposal HERE and Trump’s comments HERE.
“If you ever need proof that money corrupts our political system, look no further than carried interest,” said Patriotic Millionaire Executive Director Erica Payne, “With Mr. Trump and Governor Bush’s support, there is a bi-partisan opportunity to bring rationality and common sense to a portion of our tax code. We challenge any politician who defends carried interest to explain why they think hedge fund managers should pay lower taxes than everyone else. This is a very straightforward issue and we are delighted Mr. Trump and Mr. Bush are addressing it.”
Below are quotes from several members of the Patriotic Millionaires.
“I used to be in the money management business and the only reason why people who manage money have a lower tax rate than people who actually work for a living is that hedge fund managers are more active at making political donations,” said Patriotic Millionaires Chairperson Morris Pearl, former Managing Director of BlackRock Inc.*
“I am in the hedge fund and private equity business and the carried interest loophole is welfare for the wealthy,” said Patriotic Millionaires Terence Meehan, Chairman of Azimuth Investment Management*
“The real mystery is how this tax break for billionaires has managed to survive all these years when everyone knows that it makes no sense for people who have no capital at risk to receive this kind of favorable tax treatment,” said Patriotic Millionaire Jeffery Gural, Chairman of Newmark Grubb Knight Frank*
“If it quacks like a duck it should be taxed like a duck!” said Patriotic Millionaire Frank Pattitucci, CEO & Owner of NuCompass Mobility*
“Closing the carried interest loophole would be a giant symbolic step toward a more economically equitable America. There is no reason for the loophole other than the political power of the financial industry. How much money do these managers make in a year? The top 25 fund managers make more money combined than all the kindergarten teachers in America,” said Patriotic Millionaire Fred Rotondaro, Chair of Catholics in Alliance for the Common Good*
“At a time when wages for working people have stagnated at 1990 levels and they are paying taxes at ordinary income rates, it is an outrage for a small group of hedge fund operators, often making hundreds of millions of dollars a year, to have their income taxed at low capital gains rates,” said Patriotic Millionaire Guy T. Saperstein, Attorney
“While I am not naive enough to think that changing the ‘carried interest’ loophole will fix all of our spending problems in Washington, eliminating it is the right thing to do,” said Stephen Prince, President & CEO of Card Marketing Services*
*Job titles are for identification purposes only
The Patriotic Millionaires are a group of more than 200 Americans with annual incomes over $1 million and/or assets of more than $5 million who believe that the country’s current level of economic inequality is both dangerous and immoral. They recognize that while there are many causes of inequality, the current level of economic disparity is largely the result of a multi-decade effort by wealthy elites to enact legislation designed to enhance their personal wealth and their political power. The Patriotic Millionaires are dedicated to reversing these policies and ensuring that the legislative capture that led to their adoption comes to an end. They have been covered by major news outlets including the New York Times, Washington Post, CNN, MSNBC, Fox News, The Daily Show, PBS NewsHour and many others. You can find more coverage at www.patrioticmillionaires.org/media/ and more on the group at www.patrioticmillionaires.org/about/