NEW YORK (TheStreet) -- Venture capitalists likely breathed a sigh of relief Thursday after the House of Representatives passed a tax bill that did not contain provisions over the tax treatment of carried interest.
VCs have been concerned that Congress could enact change to tax carried interest -- profits made after venture capitalists successfully cash out of their portfolio companies -- at higher ordinary income rates rather than at the capital gains rate of 15%.
Proponents of carried interest say it encourages firms to invest in young, risky companies and the results of not investing in these firms could be damaging to the economy.
To read the full, original article click on this link: Venture Capitalists Cheer Tax Bill - TheStreet
Author: Olivia Oran
