First Carried Interest, Then Founders' Stock

It looks like those warning that the next target for the tax-increasers after carried interest would be founders' stock were correct. The Tax Prof blog reports on a presentation at Stanford Law School in which a law professor's article "questions the prevailing view that we should tax founders at a low rate" and argues, "Taxing founders at a low rate is a conspicuous loophole in the fabric of our progressive income tax system, uniquely undermining our shared commitment to equal opportunity and distributive justice." More: "it would be normatively desirable to eliminate the tax subsidy and instead tax gains from founders' stock at the same rate as labor income."