How investment firms shield the ultrawealthy from the IRS

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How investment firms shield the ultrawealthy from the IRS

In 2015, the U.S. Department of Treasury hired an economist named Owen Zidar as a contractor to help a team of government officials examine a problem of growing urgency. The ultrawealthy were increasingly turning to intricate webs of companies and trusts to move their income in ways that auditors could hardly begin to understand. These distinctive new investment schemes are often called “large partnerships,” and they have become pervasive in the…