EPISODE · Jun 14, 2026 · 10 MIN
The VC Carried Interest Loophole That Won't Die
from The Venture Capital Podcast with Fexingo: VCs, Term Sheets, and Startup Investing · host Fexingo
Lucas and Luna unpack the carried interest tax loophole that has survived every reform attempt since 2007. They trace its origins back to the 1920s investment partnership structure, explain why the 2017 tax reform actually made it more valuable, and reveal how VCs currently pay a lower effective tax rate than many of the founders they fund. Using real-world numbers from 2024 fundraising data, they show why this issue — not valuation math or term sheet clauses — may be the most consequential political risk hanging over venture capital. #CarriedInterest #VentureCapital #TaxLoophole #PrivateEquity #LucasAndLuna #FexingoBusiness #BusinessPodcast #StartupInvesting #TaxReform #WealthInequality #CapitalGains #PartnershipTax #VCCompensation #EconomicPolicy #BusinessLaw #Finance #Investing #TaxPolicy Keep every episode free: buymeacoffee.com/fexingo
What this episode covers
Lucas and Luna unpack the carried interest tax loophole that has survived every reform attempt since 2007. They trace its origins back to the 1920s investment partnership structure, explain why the 2017 tax reform actually made it more valuable, and reveal how VCs currently pay a lower effective tax rate than many of the founders they fund. Using real-world numbers from 2024 fundraising data, they show why this issue — not valuation math or term sheet clauses — may be the most consequential political risk hanging over venture capital. #CarriedInterest #VentureCapital #TaxLoophole #PrivateEquity #LucasAndLuna #FexingoBusiness #BusinessPodcast #StartupInvesting #TaxReform #WealthInequality #CapitalGains #PartnershipTax #VCCompensation #EconomicPolicy #BusinessLaw #Finance #Investing #TaxPolicy Keep every episode free: buymeacoffee.com/fexingo
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The VC Carried Interest Loophole That Won't Die
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