Connect with us

Politics

New York Gov. Cuomo Propses 17% “Fairness Tax” On Hedge Fund Managers

Published

on

(Via Zerohedge)

We suspect Puerto Rico and Miami may be about to see a mass immigration… from New York state…

Never one to miss an opportunity for some virtue-signaling and wealth distribution, New York State Governor Andrew Cuomo announced today, legislation to close carried interest loophole with a so-called “Fairness Fix.”

Under U.S. law, part of income earned by hedge fund managers, private equity investors, venture capitalists and certain real estate investors is known as carried interest and is treated as capital gains, rather than as ordinary income, resulting in lower capital gains tax rates.


This is reportedly costing NY state about $100m/year.


Cuomo proposing legislation treating “this hedge fund compensation” as ordinary income for state tax purposes.


“By imposing a 17 percent “Fairness Fix,” every hedge fund manager working in New York State – including those living outside of the state – will be required to pay their fair share and losses under the federal tax code will be compensated. This proposal could raise nearly $1.1 billion annually and help ease the impacts of the federal tax plan.”


Full Press Release:


GOVERNOR CUOMO ANNOUNCES MAJOR STEP IN CLOSING CARRIED INTEREST LOOPHOLE WITH NEW “FAIRNESS FIX” TO ENSURE JUSTICE FOR NEW YORK TAXPAYERS


Governor’s Proposal Could Raise More Than $1 Billion Annually


Governor Andrew M. Cuomo today announced legislation to close the carried interest loophole, deliver fairness to all New York taxpayers, and help alleviate the impacts of the Trump administration’s federal tax plan. This proposal will fix and equalize the tax treatment of income for private equity investors. Currently, investors pay lower tax rates than ordinary New Yorkers on their income by way of the carried interest loophole. The “Fairness Fix” could raise nearly $1.1 billion annually.


“While the federal government stacks the deck in favor of the wealthy and corporations at the expense of the middle class, we are taking action to protect hardworking New Yorkers and ensure fairness and equality,” Governor Cuomo said.


“Closing this egregious loophole will further this administration’s efforts to promote economic justice and establish a fair tax code for working men and women across New York.”


Under current federal law, a portion of income earned by hedge fund managers, private equity investors, venture capitalists and certain real estate investors – known as carried interest – is treated as capital gains, rather than as ordinary income. As a result, this income is afforded favorable tax treatment in the form of lower capital gains tax rates. This loophole costs the state approximately $100 million every year.


To ensure justice for New York taxpayers and take proactive measures to fight back against the federal government’s tax plan, the Governor has proposed legislation that would treat this hedge fund compensation as ordinary income for state tax purposes. The legislation would also impose a “Fairness Fix” to close the carried interest loophole under New York State’s tax code. By imposing a 17 percent “Fairness Fix,” every hedge fund manager working in New York State – including those living outside of the state – will be required to pay their fair share and losses under the federal tax code will be compensated. This proposal could raise nearly $1.1 billion annually and help ease the impacts of the federal tax plan.


The legislation puts forward a comprehensive, regional approach to addressing the carried interest issue, taking effect only if Connecticut, New Jersey, Massachusetts and Pennsylvania enact legislation having substantially the same effect as this bill.


Governor Cuomo has advocated for hard-working New Yorkers since day one, as Republicans in Washington threaten the economic future of New York State. The Governor has traveled across New York to warn against reforms to the tax code that would increase taxes on New Yorkers by $14.3 billion.


The Governor’s proposal will build on years of action to reduced tax rates for New York’s middle-class to the lowest level in 70 years. In addition, the progressive income tax rate for taxpayers earning over $1 million, which was enacted by the Governor in 2011, will remain in place through 2019.


In 2016, the Governor enacted a multi-billion-dollar tax reduction that will save New York’s middle-class nearly $6.6 billion in just the first four years, with annual savings reaching $4.2 billion by 2025. Over 4 million taxpayers will see an average of $250 in savings next year alone, and $700 annually when fully effective.

While Illinois was the most ditched state in 2017, we wonder if New York will top that list in 2018… on a dollar tax revenue

As we’ve pointed out before, there is a growing wave of domestic migrants that are abandoning over-taxed and generally unaffordable metropolitan areas like San Francisco, New York, Chicago and Miami in search of better lifestyles in the Southeast and Texas.


As we’ve pointed out before, there is a growing wave of domestic migrants that are abandoning over-taxed and generally unaffordable metropolitan areas like San Francisco, New York, Chicago and Miami in search of better lifestyles in the Southeast and Texas.

Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Politics

Obama Library Opening Postponed For Another Year

Published

on

(Via Chicago Tribune)

The Obama Foundation has pushed back the groundbreaking date for the Obama Presidential Center after the federal review process was delayed for a second time this summer, officials confirmed Friday.

Instead of starting construction later this year, the foundation is now saying they plan to break ground for the half-billion-dollar project sometime in 2019. Officials avoided setting a specific date during the year. They also would not say if this will change their timeline for building the center, which was once slated to open in 2021.

“We have a sense of urgency about this project (and) when we started, we wanted the public to know we would break ground as soon as possible,” said Michael Strautmanis, the vice president for civic engagement for the foundation. “But we also knew there were some things that were not in our control. We insist on going through the process with integrity and without rushing.”

Before the presidential center can be built, the federal government will review its impact on Jackson Park, which is on the National Register of Historic Places, and evaluate the project’s environmental effects. Any impact that the review highlights will have to be resolved before construction can be allowed.

There have already been two public federal review meetings. A third was scheduled in June, but then it was delayed until July. Now it has been delayed until late summer, according to the city of Chicago’s website.

The federal review process has to be conducted because of Jackson Park’s historic status and because it involved closing and expanding major streets.

The news of the delay comes just a day after activists gathered on the South Side at a meeting to discuss placing a community benefits agreement proposition on the February ballot.

(Full Story Here)

Continue Reading

Politics

“Legal Remedies” Coming For Tech Censorship?

Published

on

(Via Washington Examiner)

Rep. Devin Nunes said he is looking at possible legal action against Twitter over the “shadow banning” fiasco that temporarily decreased the visibility he and other Republicans had on the social media platform.

Last week, Vice News reported that Nunes, along with several other conservative Republican figures, were harder to find on Twitter as their accounts did not show up on the auto-populated drop-down search box.

“It sure looks to me like they are censoring people and they ought to stop it. We are looking at any legal remedies to go through,” Nunes, R-Calif., said at the end of a Sunday morning interview on Fox News.

Twitter did not immediately respond to a request for comment.

Nunes’ comments follow a tweet by President Trump saying “We will look into this discriminatory and illegal practice at once!”

Those GOP individuals who were effected by the “shadow banning” debacle didn’t completely disappear from Twitter — their profiles did appear when a full search was conducted — but they did express ire at what they said could be a politically charged maneuver to make it less convenient for users to find them. These GOP figures — Nunes, along with Reps. Matt Gaetz, Jim Jordan, and Mark Meadows, as well as Republican National Committee Chairwoman Ronna McDaniel — felt the impact along with controversial right-wing figures, including Jason Kessler, the organizer of last year’s white nationalist rally in Charlottesville, Va.

(Full Story Here)

Continue Reading

Media

Trump vs Fake News: “I Will Never Stop Fighting For The American People”

Published

on

(Via Infowars)

President Trump leveled harsh criticism of the fake news media over their constant negative coverage of his administration, and assured the American people he won’t let them continue to sell out the country.

“When the media – driven insane by their Trump Derangement Syndrome – reveals internal deliberations of our government, it truly puts the lives of many, not just journalists, at risk! Very unpatriotic!” Trump tweeted Sunday.

“Freedom of the press also comes with a responsibility to report the news accurately. 90% of media coverage of my Administration is negative, despite the tremendously positive results we are achieving, it’s no surprise that confidence in the media is at an all time low!”

“I will not allow our great country to be sold out by anti-Trump haters in the dying newspaper industry,” he continued. “No matter how much they try to distract and cover it up, our country is making great progress under my leadership and I will never stop fighting for the American people!”

Trump then made it clear that leftist publications like the New York Times “will never change” in their coverage against him.

“As an example, the failing New York Times and the Amazon Washington Post do nothing but write bad stories even on very positive achievements – and they will never change!”

(Read Full Story Here)

Continue Reading

Trending

Donate to Populist Wire

*Note: Every donation is greatly appreciated, regardless of the amount.