NYC Hedge Funds Angle for Work-From-Home Windfall on Their Taxes
- Some firms pay 4% levy based on location where work is done
- Decamping to Palm Beach may result in a lower city tax bill
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Hedge fund managers who fled Manhattan to work from their second or third homes this year could end up saving millions of dollars -- and cost New York City dearly.
Investment firms that pay the city’s unincorporated business tax -- a 4% levy that brought in more than $2 billion last year -- may be able to slash their bills because, for the first time, most of their income is being earned outside Manhattan. The UBT is assessed on the bottom lines of businesses operating in New York City that aren’t organized as corporations.