When presidential candidate Mitt Romney said in a private, now-controversial fundraiser in Boca Raton that 47 percent of the U.S. population pays no or little taxes, he must’ve been talking about his host.
Marc Leder, whose Sun Capital Partners hedge fund company is based in Boca, recently surrendered internal papers to the State of New York for a tax-related investigation.
The alleged crime?
You guessed it: Going around tax laws to keep more of the management fees Sun Capital charges clients!
The now-controversial $50,000-a-plate Romney fundraiser at Leder’s house led to the release of a video that appears to document Romney’s disdain for Barack Obama voters.
And it placed Leder into focus as someone whose post-divorce days led to poolside sex parties.
But New York Attorney General Eric Schneiderman thinks Leder’s partying could have been funded to the detriment of taxpayers.
This summer, Schneiderman has subpoenaed paperwork from Sun Capital Partners, as well as Kohlberg Kravis Roberts & Company, Apollo Global Management, TGP Capital, Silver Lake Partners and even Bain Capital, founded by Romney.
Schneiderman wants to see whether the firms tried to skirt paying state and federal taxes on billions in revenues, according to The New York Times.
The tax strategy under the microscope is the possibly illegal conversion of management fees, taxed high as ordinary income, into capital gains, taxed low.