Abc is a hedge fund in the united states how much tax will


ABC is a hedge fund in the United States. It enters into a number of swaps during the year. The profitable swaps have net gains of $50 million and the losing swaps have net losses of $40 million for the year. All of its investors are US individuals who are in the highest tax bracket of 40%. If the hedge fund is treated as an investor, how much tax will all of the partners have to pay on the swap income? If the hedge fund is treated as a trader how much?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Abc is a hedge fund in the united states how much tax will
Reference No:- TGS02808836

Expected delivery within 24 Hours