Paterson Retreats From Taxing Hedge-Fund Managers
This article is for subscribers only.
New York Governor David Paterson is retreating from a plan to tax hedge-fund managers who commute into the state, which was projected to raise $50 million a year to help balance an overdue budget.
Paterson, a Democrat, said today he no longer supports the levy because investment companies could avoid it just by moving to neighboring states. Connecticut Governor Jodi Rell yesterday sent a letter to the New York Hedge Fund Roundtable urging its members to relocate to her state to escape the proposed tax.