Brave New Films has released a new film, War On Greed. It's about the type Private Equity firms, focus on Henry Kravis, which takeover a public company and produce pretty much nothing but wealth for themselves.
Note Kravis is supporting John McCain
From David Sirota, When Barbarians Take Hostages:
That is roughly the amount stolen each year through a tax loophole allowing those like Kravis to pay a lower effective tax rate than the servants who tend to his 26-room Park Avenue penthouse. Instead of paying the 35 percent income tax rate, private equity managers are permitted to pay the 15 percent capital gains rate on most of their earnings. They are also allowed to use offshore corporations to shelter their income from taxes
A CNBC interview segment with War On Greed Director, Robert Greenwald:
With such obvious abuses of the tax code and loopholes one would think Congressional leadership
would stop these tax loopholes which tax these firms at a capital gains rate. Our representatives would want to save these companies vulnerable to takeover by private equity firms for these companies are important to trade, production, manufacturing, middle class wealth, local economies and middle class jobs. Yet:
Senate Majority Leader Harry M. Reid (D-Nev.) has told private-equity firms in recent weeks that a tax-hike proposal they have spent millions of dollars to defeat will not get through the Senate this year, according to executives and lobbyists.
Reid's assurance all but ends the year's highest-profile battle over a major tax increase. Democratic lawmakers, including some presidential candidates, had been pushing to more than double the tax rate on the massive earnings of private-equity managers, who the Democrats say have been chronically undertaxed.