Forbes – President Barack Obama’s plan to pay for his $447 billion jobs plan by ending the carried interest tax break sets up a massive battle with Wall Street’s Masters of the Universe, the hedge fund and private equity billionaires who have successfully beaten back similar proposals for years.
The plan now emerging from the White House is to raise $18 billion by taxing the profit-based compensation of billionaires like Blackstone’s Stephen Schwarzman and Apollo’s Leon Black as ordinary income, which would be higher than the capital-gains rate currently applied to carried interest.
