McDermott Comment | UK Shelves Proposals to Raise Capital Gains Tax Rates and Cut Allowance

Overview


Kevin Cummings, UK Head of Corporate Tax at law firm McDermott Will & Emery, said:

“This is a real boon for the private equity industry. There’s been widespread paranoia that carried interest would lose its preferential treatment and be taxed instead as ordinary pay at rates of up to 47%. Since Brexit, the Treasury seems rightly intent on propping up UK private equity – recently announcing the new UK asset holding company, a means to ensure private equity assets are held on UK platforms rather being diverted offshore to Luxembourg or Ireland.”