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United States Ways and Means Committee Ranking Member Sander Levin introduced on February 14, 2012, Carried Interest Fairness Act of 2012. This legislation would prevent investment managers to benefit from reduced income tax rates. Levin, after having introduced similar bills in the past comes back and fight against what he thinks are tax advantages for a certain category of U.S. taxpayers. Many investment funds are structured as partnerships (for U.S. federal income tax purposes) in which investors become limited partners and the managers of the funds are the general partner. The managers often take a significant share of their remuneration for managing the fund as a share of the profits realized (usually equal to 20 percent of the profits), i.e. a profits interest or "carried interest...
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