Carried interest wormhole
Andrew W. Mellon Professor Francesca Trivellato interviewed for NPR's Planet Money podcast:
"The carried interest tax loophole allows wealthy Americans, like those in private equity and hedge funds, to avoid billions in taxes each year. It's been one of the most controversial features of the U.S. tax system, yet it has survived multiple attempts (by Republicans and Democrats) to try to kill the loophole. The most recent attempt — in the Inflation Reduction Act — was thwarted last week.
On today's episode, we take a trip through history — from spice vessels at medieval Mediterranean ports (like the one in Claude-Joseph Vernet's painting 'A Calm at a Mediterranean Port') to rooms on Wall Street — to explore the origins of one of the most unkillable loopholes in the U.S. tax code."
Listen at NPR.