Bradley Van Buren is a Partner in our Boston office
Management fee waivers have received scrutiny from the IRS and the New York Attorney General, but recently the IRS has indicated it will not take a stance regarding these waivers. Instead, it reserve the right to examine a waiver structure during an audit. This article discusses the implications of the management fee waiver controversy and why private equity partners should consider management fee waivers for a special profits allocation.
READ: Forgone Fees Bode Well for PE
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.