March 13, 2019

Public Citizen Welcomes Baldwin-Pascrell Legislation to End Wall Street Tax Subsidy

Statement of Bartlett Naylor, Financial Policy Advocate, Public Citizen's Congress Watch Division

Note: Today, U.S. Sen. Tammy Baldwin (D-Wis.) and U.S. Rep. Bill Pascrell (D-N.J.) reintroduced legislation to end the so-called carried interest loophole, which allows certain investment managers to pay taxes at reduced rates. The reform has enjoyed bipartisan support and was included in the national platforms of both major parties.

Main Street Americans shouldn't have to lug Wall Street investment managers on their shoulders through the carried interest loophole. No politician, not even President Donald Trump, openly supports this tax subsidy.

Closing this loophole would yield more than $15 billion over 10 years. That's enough to put 380,000 students through college, police the streets of Chicago for a decade or build 45 new veterans hospitals.