Comments on: Mitt Romney’s IRA http://blog.oup.com/2012/02/mitt-romney-ira/ Academic insights for the thinking world. Wed, 19 Jun 2013 15:22:49 +0000 hourly 1 http://wordpress.org/?v=3.4.2 By: David Katz http://blog.oup.com/2012/02/mitt-romney-ira/#comment-289517 David Katz Sun, 26 Aug 2012 09:18:38 +0000 http://blog.oup.com/?p=21094#comment-289517 Bain entities legally converted management fees to carried interest, enabling Mitt Romney to pay capital gains tax instead of income tax on these earnings. However, Professor Victor Fleischer of the University of Colorado Law School has argued that the practice of "waiving" these management fees in exchange for virtually certain future profit, so that the extremely slight economic risk is disproportionately small compared to the tax gain, is illegal and concludes: "Mitt Romney has not paid all the taxes required under law." Do you agree? Bain entities legally converted management fees to carried interest, enabling Mitt Romney to pay capital gains tax instead of income tax on these earnings. However, Professor Victor Fleischer of the University of Colorado Law School has argued that the practice of “waiving” these management fees in exchange for virtually certain future profit, so that the extremely slight economic risk is disproportionately small compared to the tax gain, is illegal and concludes: “Mitt Romney has not paid all the taxes required under law.”

Do you agree?

]]> By: OUPblog » Blog Archive » Public pensions, private equity and the mythical 8% return http://blog.oup.com/2012/02/mitt-romney-ira/#comment-253189 OUPblog » Blog Archive » Public pensions, private equity and the mythical 8% return Mon, 05 Mar 2012 13:32:03 +0000 http://blog.oup.com/?p=21094#comment-253189 [...] so-called “alternative” investments such as private equity partnerships. Publicity about Mitt Romney’s IRA has focused attention on the often lucrative results obtained by at least some private equity [...] [...] so-called “alternative” investments such as private equity partnerships. Publicity about Mitt Romney’s IRA has focused attention on the often lucrative results obtained by at least some private equity [...]

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