ML-Implode News - IRS Goes After Hedge Fund's "Aggressive" Tax Dodge Technique

New York (HedgeCo.Net) -- Super-successful hedge fund Renaissance Technologies Medallion is under scrutiny by the IRS for anÂ unusual tax strategy invented by former Cold War code breaker, and hedge fund founderÂ James H. Simons.
The hedge fund has an amazing 80%Â average profit per year over the last 25 years, and the IRS is looking for its cut.

Gawker says: "Renaissance, in essence, filtered its investments through a bank in order to claim that they were making long-term capital gains, when in fact they were making short-term trading profits. Then they paid the lower tax rate. The IRS calls this an "end run" around tax law."

Relevant:

IRS Goes After Hedge Fund's "Aggressive" Tax Dodge Technique