ARTICLE | Politics & Policy

Tax bill amendments put carried interest in the crosshairs

November 8, 2017 12:43 AM UTC

While the tax treatment of carried interest escaped the initial draft of the Tax Cuts and Jobs Act (H.R. 1), it featured prominently among suggested changes included in a series of amendments introduced Monday by House Ways and Means Committee Chairman Kevin Brady (R-Texas).

Brady said the proposed amendments include a provision “that imposes an additional holding period requirement of three years with respect to gains on a ‘carried interest’ in an investment or real estate business.” According to current law, investments need to be held for only one year to be considered long-term, and thus qualify for the 20% rate. ...