Top GOP donors close wallets over tax law

[jpak]

https://www.cnn.com/2018/05/14/politics/gop-hedge-fund-donors-tax-law/index.html

(CNN)As national Republicans scramble their resources for a high-stakes midterm election year, some of the party's biggest and most reliable donors have quietly withheld their support for Senate and House Republican groups out of frustration with the new tax law, CNN has learned.

The standoff has a tinge of irony because the tax changes are a centerpiece of the GOP's case to voters in the midterm elections. Meanwhile, Democrats have accused Republicans of catering to the wealthiest Americans with the law: In a news conference earlier this year, House Minority Leader Nancy Pelosi warned that the Republican tax plan is "padding the pockets of GOP donors, executives, and big corporations at the expense of everyone else."

But some of the Republican Party's powerhouse donors in fact feel deeply stung by the law and have made their displeasure known to party leaders by keeping their wallets shut, according to multiple sources familiar with the situation, who spoke with CNN on condition of anonymity. Although some of the donors have not sworn off contributions to individual campaigns or even the Republican National Committee, all have so far withheld contributions to the House and Senate Republican campaign arms -- which are key players in the 2018 midterm elections -- as a way to send a message over the law.

The donors who have boycotted, all of whom are leaders of prominent hedge funds, include Paul Singer, of Elliott Management; Citadel's Ken Griffin; Warren Stephens of Stephens Inc.; Cliff Asness of AQR; Bruce Kovner, formerly of Caxton; and Third Point's Daniel Loeb. Combined, their donations accounted for more than $50 million to Republican groups during the 2016 election cycle; Singer ranked among the top 10 donors of either party, while Griffin and Stephens ranked in the top 20.

<more>

[underpants]

1. What, THEY DIDN'T GET ENOUGH? I thought this was the whole point of it

How many articles were there saying - Do this or stop calling me!.? Hell at least one Republican from NY I think admitted so publicly.

[unblock]

2. wow, particularly staggering for hedge fund managers to complain.

oh, it's so unfair that corporations get a bigger tax cut than rich individuals!

but wait, so much of what corporations gain flows through to hedge fund managers due to the nature of what they do!

stock prices got a big boost from corporate tax rates going down, and hedge funds typically get something like 20% of the upside.

*and* that's then taxed at a lower rate. so even if their explicit individual income tax rate didn't go down as much, their revenue skyrocketed, so they're still making out like bandits.


that said, please proceed, greedy piggies, save your money, don't contribute to the republicans!

[lindysalsagal]

3. Hedge funds still taxed at 37%, boo, hoo.

Why should the people with all the money pay for everything? Make the people who don't have enough pay!

[nykym]

4. That's OK

The Russians will make up the difference and the republicons will accept with open arms.

[Dawson Leery]

5. Ken Griffin, Bruce Kovner and Daniel Loeb will never have enough,

especially the later two.

[Sancho]

6. It wasn't that the rich didn't get richer, but that some other rich got more!!

[Gothmog]

7. Trump pissed off the hedge fund managers

This used to be a reliable group of GOP donors

[muriel_volestrangler]

8. "Hedge Funds Aren't People, waaahhh! Not if corporations get lower taxes, anyway!" (nt)

[Tom Rinaldo]

9. It should read "owners", not "donors" n/t