Andreessen: Change carried interest tax

Mar 02, 2012

Venture capitalist Marc Andreessen believes that carried interest should be treated as ordinary income, according to comments made this morning on CNBC's Squqak Box.  He is the latest in a small, but growing number of influential VCs who agree with President Obama that they are paying too little tax on investment profits derived from third-party capital:

"My personal view is carried interest should be treated as ordinary income. It's a fee for service. An incentive fee on somebody else's capital... I would favor reforming it."

It's worth noting, however, that Andreessen's support of Obama's proposed carried interest change does not extend to an endorsement of Obama as Commander-in-Chief. According to Federal Election Commission records, Andreessen has donated $100,000 to Restore our Future, a SuperPAC supporting Romney. He says that he is now firmly a Republican, after having historically backed candidates and organizations of  both parties.

Here's the full interview:

[cnnmoney-cnbc vid=http://video.cnbc.com/gallery/?video=3000076440]

 

All products and services featured are based solely on editorial selection. FORTUNE may receive compensation for some links to products and services on this website.

Quotes delayed at least 15 minutes. Market data provided by Interactive Data. ETF and Mutual Fund data provided by Morningstar, Inc. Dow Jones Terms & Conditions: http://www.djindexes.com/mdsidx/html/tandc/indexestandcs.html. S&P Index data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. Terms & Conditions. Powered and implemented by Interactive Data Managed Solutions