On Friday, June 22, H.R. 2834 was introduced in the U.S. House of Representatives by Rep. Sander Levin (D-MI) which would treat carried interest as ordinary income rather than capital gain for tax purposes, a concept which several U.S. Senators have been considering in recent months. (see Private Equity Alert, April 2007). Until now, the U.S. House members have not committed to introducing a bill; however, the bill was co-sponsored by several key Representatives, including Charles Rangel (D-NY), the Chair of the Ways and Means Committee, suggesting that the bill will be placed on a fast track.

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