$100 MILLION TAX SAVINGS FROM ONE PERSON

“Writing in the [New York] Times in June of 2015, Victor Fleischer [the carried-interest loophole’s opponent] analyzed the most recently available I.R.S. income data, which are from 2012, and described a technique of approximating the carried interest generated by financial firms. (Investment funds are not required to report that figure outright.) He estimated that, in 2012, one subset of financial firms had generated forty billion dollars in carried interest, taxable at the capital- gains rate. Had the loophole been closed, the Treasury would have taken in eight billion additional tax dollars, or eighty billion over ten years, from just this one subset. He also often argues that the government estimates could not be right, given that [Stephen] Schwarzman alone made around seven hundred million dollars in each of the past two years, resulting in annual tax savings of close to a hundred million dollars a single person.”

Alec MacGillis, “The Billionaires’ Loophole,” New Yorker, March 14, 2016, pp: 64-73.