Varney to Lee Zeldin: ‘Outrage’ Carried Interest Loophole Is Still in the Tax Bill

‘Why is it still in there?’

EXCERPT:

VARNEY: "One thing that is really enraging a lot of people is carried interest. Hedge fund managers, private equity people, they pay a much lower tax rate than people on high income who is are in other industries. That -- that thing stays in there, carried interest stays, that -- I think that’s an outrage, why is it still in there?"
ZELDIN: "Well, you know, I -- I think -- if you want to talk about leveling the playing field on the Republican side of the aisle, there’s a lot of support for leveling it down more than, you know, what you might see more so by the Democrats of trying to level it up. We want — I want tax relief, if you're looking at the personal income side, when you have the top tax rate go from 39.6 to 37 that's a -- that's a good thing. As it relates to your first question, it’s — it’s an improvement because the original House version was 39.6 to 37, actually helps a little bit with that state and local tax deduction issue. On the carried interest deduction, there are strong arguments on both sides of this, and I hear from colleagues who genuinely and deeply believe in their argument of whether or not, you know, this is a loophole that must be closed and be treated as ordinary income and others who are talking about how these are long-term investments with risks and that you know, this was —" [crosstalk] 
VARNEY: "It's just not right."
ZELDIN: "So I mean, I -- I hear a lot of arguments on both sides."
VARNEY: "It’s just not right, congressman."

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