Labor Taxed at a Higher Rate than Capital Gains

If you earn your living by actually working you get taxed at a higher rate than the people that spend their days sitting by a pool and making a couple of stock trades each day.

The bills in Congress take aim at a provision of the tax law that has allowed private equity and hedge fund operators to pay a lower capital-gains tax rate of 15 percent, instead of the ordinary top income-tax rate of 35 percent, on the performance fees that make up the bulk of their huge paychecks.

Check out Matthew Yglesias for more.