S. 445, known as the “Carried Interest Fairness Act of 2025,” aims to amend the Internal Revenue Code of 1986 to change how personal service income earned from pass-thru entities is taxed. Specifically, it addresses the taxation of income derived from partnership interests...
Simple Explanation
S. 445 wants to make sure money made from managing other people's investments is taxed like regular paycheck money instead of lower tax rates, closing some tricky loopholes to make it fair and clear.