Myners calls for 40% private equity tax
Former M&S chairman calls for 40% on private equity carried interest payments, and should be treated as employees' bonus
Former M&S chairman Paul Myners has called on the government to tax
private equity partners at 40% instead of 10%.
In a submission to the Treasury Select Committee, which is investigating the
private equity industry, Myners said carried interest payments to partners that
currently are only taxable at 10%, if held for two years, should be taxed at
40%.
He said the payments were income related to employment and should be taxed at
the appropriate marginal rate, reported
the
Daily Telegraph .
Carried interest was a ‘bonus’ for performance as opposed to risk taking,
said Myners, and should be treated as income in the same way bonus payments are
treated to employees.
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