Saturday, 30 August 2014
Last updated 20 hours ago
Dec 9 2011 | 10:01am ET
Hedge fund billionaire Leon Cooperman has beaten a $5 million penalty for unpaid taxes.
The Internal Revenue Service has settled its case against Cooperman, stemming from what the Omega Advisors founder says was bad tax advice. Instead of the $5 million penalty, Cooperman will pay only $29,191, as well as the $14 million plus interest in unpaid taxes.
The billionaire argued that he had acted in good faith and shouldn't be so harshly penalized.
Cooperman's problem is this: He seeded Jana Partners, and then donated his stake in the hedge fund to his charitable foundation. Independent appraisers valued that stake at $43 million, and Cooperman, on the advice of his tax preparer, deducted the donation.
Cooperman now concedes, you aren't allowed to deduct non-publicly-traded securities donated to your own foundation. But he said that neither he nor his tax preparer were aware it wasn't allowed, and that he was "mortified" when the bill came.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...