Wills Taxes on Partnerships be Doubled?

On June 22, 2007, “Representatives Charles B. Rangel of New York, the chairman of the House Ways and Means Committee, and Sander M. Levin of Michigan joined 12 other Democrats in introducing the legislation to tax the performance income earned by many partnerships, including private equity firms, at ordinary income tax rates of 35 percent instead of the current 15 percent capital gains rate”  This legislation would “rais[e] taxes on private equity and hedge fund managers [and] more than double taxes on most of the income earned by partnerships, including private equity managers, venture capitalists and some hedge funds.”  Jenny Anderson & Andrew Ross Sorkin, Bill Is Offered to Increase Tax on Private Equity, NY Times, June 23, 2007.