Carried Interest Fairness Act of 2012

H.R. 942 - American Research and Competitiveness Act of 2011 (R&D tax credits) H.R. 4 & S. 18 - Small Business Paperwork Mandate Elimination Act (1099 reporting) H.R. 428, S. 106 & S. 1012 - Telephone Excise Tax Repeal Act of 2011 H.R. 1002 & S. 543 - Wireless Tax Fairness Act of 2011 H.R. 8 - Job Protection and Recession Prevention Act of 2012 H.R. 1439 - Business Activity Tax Simplification Act H.R. 1864 - Mobile Workforce State Income Tax Simplification Act H.R. 2735 - To amend the IRC of 1986 to make permanent the look-through treatment of payments between related controlled foreign corporations H.R. 3179 - Marketplace Equity Act (to improve the States' rights to enforce the collection of State sales and use tax laws) H.R. 3630 - Middle Class Tax Relief and Job Creation Act of 2012 H.R. 4016 - Carried Interest Fairness Act of 2012 H.R. 6169 - Pathway to Job Creation through a Simpler, Fairer Tax Code Act of 2012 H.R. 4196 & S. 2240 - To amend the IRC of 1986 to extend the allowance for bonus depreciation for certain business assets H.R. 674, S. 89 & S. 164 - Withholding Tax Relief Act of 2011 (to amend the IRC of 1986 to repeal imposition of 3% withholding on certain payments made to vendors by government entities) H.R. 1860 & S. 971 - Digital Goods and Services Tax Fairness Act of 2011 H.R. 2701 & S. 1452 Main Street Fairness Act H.R. 3091 - To make permanent the individual tax rates for capital gains and dividends S. 135 - Permanent Internet Tax Freedom Act of 2011 S. 1647 - A bill to repeal the sunset on the reduction of capital gains rates for individuals and on the taxation of dividends of individuals at capital gains rates S. 1832 - Marketplace Fairness Act (a bill to restore States' rights to enforce State and local sales and use tax laws) S. 2237 - Small Business Jobs and Tax Relief Act S. 3412 - Middle Class Tax Cut Act VoIP Sourcing tax legislation/Mobile Telecommunications Sourcing Act technical corrections Internet tax fairness State and local taxation of telecommunications/the Internet/digital goods Retirement and pension plan funding U.S. taxation of foreign earnings Corporate tax reform/interest deductibility/tax rates International tax reform Dividend taxation Energy tax legislation Carried interest legislation Treasury guidance on the Economic Substance Doctrine IRS rules on uncertain tax positions (Ann. 2010-30) Telephone excise tax repeal Cost recovery and depreciation issues, including expensing and bonus depreciation Telecommunications equipment depreciation Tax treatment of employer provided cell phones Tax treatment of gain in certain spin-off transactions CFC look-through treatment Research tax credit Employer education assistance Federal telecommunications excise tax application to wireless fees

Client expense: $3,480,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, Health & Human Services, Dept of (HHS), Internal Revenue Service (IRS), Office of the Comptroller of the Currency (OCC), SENATE, Treasury, Dept of, White House Office

Tax reform: No specific bill but asked that Congress take a comprehensive approach to tax reform and not enact reform for C corporations at the expense of flow-thru entities, including partnerships, S Corporations, and LLCs. We also asked policymakers not to tax flow-through entities with revenues over certain thresholds as C corporations or to pass legislation that would disadvantage real estate relative to other industries. We further requested that Congress maintain the deductibility of business interest and the Low-Income Housing Tax Credit. Finally, we urged Congress to enact permanent estate tax reform with a $5 million exemption, 35 percent top rate, and a retention of stepped-up basis rules. 2001 and 2003 Tax Cuts & Fiscal Cliff: We supported an extension of tax rates applicable in 2012 to income, capital gains and dividends, and the estate tax. Specifically, we favored: - H.R. 8 - Job Protection and Recession Prevention Act of 2012. Section 2: Extension of 2001 and 2003 Tax Relief. Section 4: Extension of Alternative Minimum Tax Relief for Individuals. - HR 8, American Taxpayer Relief Act of 2012, Section 101: Permanent Extension an Modification of 2001 Tax Relief. Section 102: Permanent Extension and Modification of 2003 Tax Relief. Section 104: Permanent Extension of Alternative Minimum Tax Relief. Section 302: Extension of Temporary Minimum Low-Income Housing Tax Credit for Non-Federally Subsidized New Buildings. Section 305: Extension of New Markets Tax Credit. Section 331: Extension and Modification of Bonus Depreciation. Section 408: Extension of Credit for Energy-Efficient New Homes. - We also asked Congress to: (1) enact comprehensive tax reform that reduces marginal tax rates; (2) avoid raising marginal tax rates as part of fiscal cliff and tax reform; and (3) address the solvency of entitlement programs. Tax Extenders: We supported extending the following expiring tax provisions: New Markets Tax Credit (IRC Section 45D); Increased AMT exemption amount (IRC Section 55(d)); Additional 100 Bonus Depreciation (IRC Section 168(k)); Expensing of Brownfield Remediation Costs (IRC Section 198). Additionally, we engaged in lobbying activities on the following bill: S. 3521, Family and Business Tax Cut Certainty Act of 2012: Section 101. Extension of increased alternative minimum tax exemption amount. Section 202. Extension of temporary minimum low-income tax credit rate for non-federally subsidized new buildings. Section 205. Extension of New Markets Tax Credit. Section 308. Extension of credit for energy efficient new homes. Carried Interest: We opposed changes to current law as part of any legislation. We also specifically opposed H.R. 4016, to amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities (all provisions). Low-Income Housing Tax Credit: H.R. 3661 and S. 1989, to make permanent the 9 percent tax credit for the Low-Income Housing Tax Credit (LIHTC) and to extend the same policy to 4 percent LIHTCs for acquisition (all provisions). S. 3521, Family and Business Tax Cut Certainty Act of 2012, Section 202. Extension of temporary minimum low-income tax credit rate for non-federally subsidized new buildings. We also urged Congress to preserve the Low-Income Housing Tax Credit as part of any tax reform effort. Although no bill is pending, we asked Congress to support making the Low-Income Housing Tax Credit more flexible by allowing developments to qualify if 40 percent of units go to families with income that averages no more than 60 percent of area median income. IRS Temporary (T.D. 9564) and proposed rules (REG-168745-03) regarding deduction and capitalization of expenditures related to tangible property under IRC 263(a). S. 3591, Commercial Building Modernization Act (IRC 179D reform) (proposed IRC 179F) - To amend the IRC of 1986 to improve and extend the deduction for new and existing energy efficient commercial buildings, and for other purposes (all provisions). HR 6705, Building Efficiently Act of 2012, To amend the Internal Revenue Code of 1986 to reduce the depreciation recovery periods for energy efficient commercial buildings, and for other purposes (all provisions).

Client expense: $300,000 · Firm income: Not reported

Government targets: Army, Dept of (Corps of Engineers), Bureau of Citizenship & Immigration Services (BCIS), Energy, Dept of, Environmental Protection Agency (EPA), Equal Employment Opportunity Commission (EEOC), Federal Communications Commission (FCC), Federal Deposit Insurance Corporation (FDIC), Federal Housing Finance Agency (FHFA), Federal Reserve System, HOUSE OF REPRESENTATIVES, Homeland Security, Dept of (DHS), Housing & Urban Development, Dept of (HUD), Internal Revenue Service (IRS), Labor, Dept of (DOL), Natl Economic Council (NEC), Natl Labor Relations Board (NLRB), Office of Management & Budget (OMB), Office of the Comptroller of the Currency (OCC), SENATE, Securities & Exchange Commission (SEC), Small Business Administration (SBA), Treasury, Dept of, White House Office

FY2013 Budget of the United States Government (Carried Interest). S. 208. To amend the Internal Revenue Code of 1986 to extend the 100 percent exclusion for gain on certain small business stock. H.R. 4016, Carried Interest Fairness Act of 2012

Client expense: Not reported · Firm income: $70,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE

S.1452, H.R.2701, "The Main Street Fairness Act," to promote simplification and fairness in the administration and collection of sales and use taxes. All provisions. Tax reform specifically addressing concerns about pass through and depreciation. H.R.1265, to amend the IRC of 1986 to permanently extend the 15 year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. All provisions. S.1832, "The Marketplace Fairness Act," to improve the states' rights to enforce the collection of state sales and use tax laws and for other purposes. All provisions. H.R.3179, "The Marketplace Equity Act," to restore states' sovereign rights to enforce state and local sales and use tax laws and for other purposes. All provisions. H.R.4016, Carried Interest Fairness Act of 2012." All provisions. S.3591, "The Commercial Building Modernization Act," as it pertains to 179-D of IRC. H.R.8, "American Taxpayer Relief Act," became Public Law 112-240, expiring business tax provisions and capital gains rate provisions.

Client expense: $765,975 · Firm income: Not reported

Government targets: Energy, Dept of, Environmental Protection Agency (EPA), Federal Deposit Insurance Corporation (FDIC), Federal Reserve System, HOUSE OF REPRESENTATIVES, Office of Management & Budget (OMB), SENATE, Treasury, Dept of

H.R. 8 - The American Taxpayer relief act. BOMA supported the extension of the 15-year depreciation period for leashold improvments and the permanent 15percent tax rate on capital gains for those individuals with taxable income below $400,000 and for couples earning under $450,000 H.R. 1265/S. 687 - BOMA supports legislation to amend the Internal Revenue Code of 1986 to permanently extend the 15-year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. H.R. 4016 - Carried Interest Fairness Act of 2012 - BOMA opposes this legislation. S. 1035/H.R. 1792, Fire Sprinkler Incentive Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to allow: (1) 100% expensing in a current taxable year of the cost of an automated fire sprinkler system, as defined by this Act; and (2) accelerated depreciation (i.e., a 15-year recovery period) of such an automated fire sprinkler system that is installed in a building where the floor of any occupiable story is greater than 75 feet above the lowest level of fire department vehicle access. S. 1575/H.R. 2962, Roofing Efficiency Jobs Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to classify any qualified energy-efficient cool roof replacement property as 20-year property for depreciation purposes. S. 1616/H.R. 2989, FIRPTA - BOMA supports legislation to amend the Internal Revenue Code of 1986 to exempt certain stock of real estate investment trusts from the tax on foreign investments in United States real property interests. S. 1549/H.R. 12, The American Jobs Act of 2011 - BOMA opposes the provision within this legislation that would change the taxing of the carried interest of a commercial real estate partnership from a capital gain to ordinary income. S.2252 -- Rebuild America Act - BOMA opposes this legislation as it contains carried interest provisions.

Client expense: $51,000 · Firm income: Not reported

Government targets: Energy, Dept of, Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, Office of Management & Budget (OMB), SENATE, Small Business Administration (SBA), White House Office

Meetings and calls with Members and staff of House and Senate Committees and agency officials concerning possible legislation, regulatory measures, and Congressional studies on tax reform issues affecting hedge funds and other alternative investments, including: enterprise value, carried interest, and pass-through entities. Regulation of passive investment in U.S. securities and other assets by non-U.S. investors. Tax reform in non-U.S. jurisdictions. Pending legislation on international tax reform. H.R. 8 -- To extend certain tax relief provisions enacted in 2001 and 2003, and to provide for expedited consideration of a bill providing for comprehensive tax reform, and for other purposes. H.R. 2003 -- To amend the Internal Revenue Code of 1986 to impose a tax on transactions in oil futures, options, and swaps, and for other purposes. H.R. 2669 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. H.R. 3313 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. H.R. 4016 -- To amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities. H.R. 6411 -- To impose a tax on certain trading transactions to strengthen our financial security, expand opportunity, and stop shrinking the middle class. S. 1346 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. S. 1549 -- To provide tax relief for American workers and businesses, to put workers back on the job while rebuilding and modernizing America, and to provide pathways back to work for Americans looking for jobs. S. 1787 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. S. 2075 -- To close unjustified corporate tax loopholes, and for other purposes. S. 3412 -- A bill to amend the Internal Revenue Code of 1986 to provide tax relief to middle-class families. S. 3521 -- Amends the Internal Revenue Code to extend through 2013 expiring tax expenditures for individuals, businesses, and the energy sector.

Client expense: $1,020,000 · Firm income: Not reported

Government targets: Commodity Futures Trading Commission (CFTC), HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of

Federal tax issues affecting private equity firms, including: - Administration FY 2013 Budget Proposals - Tax Reform and Deficit Reduction - H.R. 4016, Carried Interest Fairness Act of 2012

Client expense: Not reported · Firm income: $90,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE, Treasury, Dept of

S.1452, H.R.2701, "The Main Street Fairness Act," to promote simplification and fairness in the administration and collection of sales and use taxes. All provisions. Proposal to amend Section 118 of the Internal Revenue Code regarding capital contributions by a non-shareholder to include partnerships. No bill introduced. H.R.2989, "Real Estate Jobs & Investment Act of 2011," all provisions. Tax reform specifically addressing concerns about pass through and depreciation. H.R.1265, to amend the IRC of 1986 to permanently extend the 15 year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. All provisions. S.1832, "The Marketplace Fairness Act," to improve the states' rights to enforce the collection of state sales and use tax laws and for other purposes. All provisions. H.R.3179, "The Marketplace Equity Act," to restore states' sovereign rights to enforce state and local sales and use tax laws and for other purposes. All provisions. H.R.4016, Carried Interest Fairness Act of 2012." All provisions. H.R.5746, "Update and Streamline REIT Act of 2012." All provisions. S.1616, "Real Estate Investment and Jobs Act of 2012." All provisions. S.3591, "The Commercial Building Modernization Act," as it pertains to 179-D of IRC.

Client expense: $528,615 · Firm income: Not reported

Government targets: Energy, Dept of, Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, Office of Management & Budget (OMB), SENATE

H.R. 942 - American Research and Competitiveness Act of 2011 (R&D tax credits) H.R. 4 & S. 18 - Small Business Paperwork Mandate Elimination Act (1099 reporting) H.R. 428, S. 106 & S. 1012 - Telephone Excise Tax Repeal Act of 2011 H.R. 1002 & S. 543 - Wireless Tax Fairness Act of 2011 H.R. 8 - Job Protection and Recession Prevention Act of 2012 H.R. 1439 - Business Activity Tax Simplification Act H.R. 1864 - Mobile Workforce State Income Tax Simplification Act H.R. 2735 - To amend the IRC of 1986 to make permanent the look-through treatment of payments between related controlled foreign corporations H.R. 3179 - Marketplace Equity Act (to improve the States' rights to enforce the collection of State sales and use tax laws) H.R. 3630 - Middle Class Tax Relief and Job Creation Act of 2012 H.R. 4016 - Carried Interest Fairness Act of 2012 H.R. 6169 - Pathway to Job Creation through a Simpler, Fairer Tax Code Act of 2012 H.R. 4196 & S. 2240 - To amend the IRC of 1986 to extend the allowance for bonus depreciation for certain business assets H.R. 674, S. 89 & S. 164 - Withholding Tax Relief Act of 2011 (to amend the IRC of 1986 to repeal imposition of 3% withholding on certain payments made to vendors by government entities) H.R. 1860 & S. 971 - Digital Goods and Services Tax Fairness Act of 2011 H.R. 2701 & S. 1452 Main Street Fairness Act H.R. 3091 - To make permanent the individual tax rates for capital gains and dividends S. 135 - Permanent Internet Tax Freedom Act of 2011 S. 1647 - A bill to repeal the sunset on the reduction of capital gains rates for individuals and on the taxation of dividends of individuals at capital gains rates S. 1832 - Marketplace Fairness Act (a bill to restore States' rights to enforce State and local sales and use tax laws) S. 2237 - Small Business Jobs and Tax Relief Act VoIP Sourcing tax legislation/Mobile Telecommunications Sourcing Act technical corrections Internet tax fairness State and local taxation of telecommunications/the Internet/digital goods Retirement and pension plan funding U.S. taxation of foreign earnings Corporate tax reform/interest deductibility/tax rates International tax reform Dividend taxation Energy tax legislation Carried interest legislation Treasury guidance on the Economic Substance Doctrine IRS rules on uncertain tax positions (Ann. 2010-30) Telephone excise tax repeal Telecommunications equipment depreciation 100% expensing Cost recovery and depreciation issues, including expensing and net operating loss carrybacks Tax treatment of employer provided cell phones Tax treatment of gain in certain spin-off transactions CFC look-through treatment Research tax credit Employer education assistance Federal telecommunications excise tax application to wireless fees PBGC insurance premiums

Client expense: $3,090,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, Health & Human Services, Dept of (HHS), Internal Revenue Service (IRS), SENATE, Treasury, Dept of, White House Office

Tax reform: No specific bill but asked that Congress take a comprehensive approach to tax reform and not enact reform for C corporations at the expense of flow-thru entities, including partnerships, S Corporations, and LLCs. We also asked policymakers not to tax flow-through entities with revenues over certain thresholds as C corporations or to pass legislation that would disadvantage real estate relative to other industries. We further requested that Congress maintain the deductibility of business interest and the Low-Income Housing Tax Credit. Finally, we urged Congress to enact permanent estate tax reform with a $5 million exemption, 35 percent top rate, and a retention of stepped-up basis rules. H.R. 6169, Pathway to Job Creation through a Simpler, Fairer Tax Code Act of 2012. Section 3: Expedited Consideration of a Measure Providing for Comprehensive Tax Reform. Small Business Tax Legislation: H.R. 9 and S. Amdt. 2524, Small Business Tax Cut (all provisions). S. 2237. Small Business Jobs and Tax Relief Act. Section 2: Temporary Tax Credit for Increased Payroll. Section 3: Extension of Allowance of Bonus Depreciation for Certain Business Assets. 2001 and 2003 Tax Cuts: We supported an extension of tax rates applicable to income, capital gains and dividends, and the estate tax. The specific bills in which we engaged in lobbying activities were: S. 3412, Middle Class Tax Cut Act. Section 101: Temporary Extension of 2001 Tax Relief. Section 102: Temporary Extension of 2003 Tax Relief. Section 201: Temporary Extension of Increased Alternative Minimum Tax Exemption Amount. S. 3413, Tax Hike Prevention Act of 2012. Section 2: Temporary Extension of 2001 Tax Relief. Section 3: Temporary Extension of 2003 Tax Relief. Section 4. Alternative Minimum Tax Relief. S. Amdt. 2573. Section 2: Temporary Extension of 2001 Tax Relief. Section 3: Temporary Extension of 2003 Tax Relief. Section 4. Alternative Minimum Tax Relief. H.R. 8. Job Protection and Recession Prevention Act of 2012. Section 2: Extension of 2001 and 2003 Tax Relief. Section 4: Extension of Alternative Minimum Tax Relief for Individuals Tax Extenders: We supported extending the following expiring tax provisions: New Markets Tax Credit (IRC Section 45D); Energy Efficient New Homes Tax Credit (IRC Section 45L); Increased AMT exemption amount (IRC Section 55(d)); Additional 100 Bonus Depreciation (IRC Section 168(k)); Expensing of Brownfield Remediation Costs (IRC Section 198). Additionally, we engaged in lobbying activities on the following bill: S. 3521, Family and Business Tax Cut Certainty Act of 2012: Section 101. Extension of increased alternative minimum tax exemption amount. Section 202. Extension of temporary minimum low-income tax credit rate for non-federally subsidized new buildings. Section 205. Extension of New Markets Tax Credit. Section 308. Extension of credit for energy efficient new homes. Carried Interest: We opposed changes to current law as part of any legislation. We also specifically opposed H.R. 4016, to amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities (all provisions). Low-Income Housing Tax Credit: H.R. 3661 and S. 1989, to make permanent the 9 percent tax credit for the Low-Income Housing Tax Credit (LIHTC) and to extend the same policy to 4 percent LIHTCs for acquisition (all provisions). We also urged Congress to preserve the Low-Income Housing Tax Credit as part of any tax reform effort. Although no bill is pending, we urged Congress to support making the Low-Income Housing Tax Credit more flexible by allowing developments to qualify if 40 percent of units go to families with income that averages no more than 60 percent of area median income. S. 3494: LIHTC legislation to allow homeless and formerly homeless youth to be eligible for LIHTC housing without giving up their status as full-time students (all provisions). H.R. 5746, Update and Streamline REIT Act of 2012 (all provisions). IRS Temporary (T.D. 9564) and proposed rules (REG-168745-03) regarding deduction and capitalization of expenditures related to tangible property under IRC 263(a). IRS REG-136491 regarding regulations applicable to utility charges and the Low-Income Housing Tax Credit S. 3591, Commercial Building Modernization Act (IRC 179D reform) (proposed IRC 179F) - To amend the IRC of 1986 to improve and extend the deduction for new and existing energy efficient commercial buildings, and for other purposes (all provisions).

Client expense: $220,000 · Firm income: Not reported

Government targets: Army, Dept of (Corps of Engineers), Bureau of Citizenship & Immigration Services (BCIS), Energy, Dept of, Environmental Protection Agency (EPA), Equal Employment Opportunity Commission (EEOC), Federal Communications Commission (FCC), Federal Deposit Insurance Corporation (FDIC), Federal Housing Finance Agency (FHFA), Federal Reserve System, HOUSE OF REPRESENTATIVES, Homeland Security, Dept of (DHS), Housing & Urban Development, Dept of (HUD), Justice, Dept of (DOJ), Labor, Dept of (DOL), Natl Economic Council (NEC), Natl Labor Relations Board (NLRB), Office of Management & Budget (OMB), Office of the Comptroller of the Currency (OCC), SENATE, Securities & Exchange Commission (SEC), Small Business Administration (SBA), Treasury, Dept of, White House Office

H.R. 1265/S. 687 - BOMA supports legislation to amend the Internal Revenue Code of 1986 to permanently estend the 15-year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. H.R. 4016 - Carried Interest Fairness Act of 2012 - BOMA opposes this legislation S. 1035/H.R. 1792, Fire Sprinkler Incentive Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to allow: (1) 100% expensing in a current taxable year of the cost of an automated fire sprinkler system, as defined by this Act; and (2) accelerated depreciation (i.e., a 15-year recovery period) of such an automated fire sprinkler system that is installed in a building where the floor of any occupiable story is greater than 75 feet above the lowest level of fire department vehicle access. S. 1575/H.R. 2962, Roofing Efficiency Jobs Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to classify any qualified energy-efficient cool roof replacement property as 20-year property for depreciation purposes. S. 1616/H.R. 2989, FIRPTA - BOMA supports legislation to amend the Internal Revenue Code of 1986 to exempt certain stock of real estate investment trusts from the tax on foreign investments in United States real property interests. S. 1549/H.R. 12, The American Jobs Act of 2011 - BOMA opposes the provision within this legislation that would change the taxing of the carried interest of a commercial real estate partnership from a capital gain to ordinary income. S.2252 -- Rebuild America Act - BOMA opposes this legislation as it contains carried interest provisions.

Client expense: $51,000 · Firm income: Not reported

Government targets: Energy, Dept of, Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, SENATE

Provisions related to the tax treatment of private equity in the Administration budget proposals and various tax reform proposals; H.R. 4016 - Carried Interest Fairness Act of 2012, all provisions; Proposals to alter the tax treatment of interest deductibility; Proposals to alter the tax treatment of pass-through businesses.

Client expense: $550,000 · Firm income: Not reported

Government targets: Commerce, Dept of (DOC), Federal Deposit Insurance Corporation (FDIC), Federal Reserve System, HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of, White House Office

FY2012 Budget of the United States Government (Carried Interest). S. 208. To amend the Internal Revenue Code of 1986 to extend the 100 percent exclusion for gain on certain small business stock. H.R. 4016, Carried Interest Fairness Act of 2012

Client expense: Not reported · Firm income: $70,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE

H.R. 4016, "Carried Interest Taxation Fairness Act"- lobbied against changing the tax treatment of real estate partnership carried interest compensation from capital gains to ordinary income. S. 1382, "The Marketplace Fairness Act" - lobbied to support the collection of remote sales and use taxes owed to state and local governments H.R. 3179, "The Marketplace Equity Act" - lobbied to support the collection of remote sales and use taxes owed to state and local governments S. 3521, "Family and Business Tax Cut Certainty Act of 2012" - lobbied to pass tax provisions for 15-year leasehold improvement depreciation. Lobbied to pass tax provisions for the expensing of brownfields remediation costs, and to provide a carry forward provision allowing developers to use the incentive in future years.

Client expense: $210,644 · Firm income: Not reported

Government targets: Army, Dept of (Corps of Engineers), Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, SENATE

Meetings and calls with Members and staff of House and Senate Committees and agency officials concerning possible legislation, regulatory measures, and Congressional studies on tax reform issues affecting hedge funds and other alternative investments, including: enterprise value, carried interest, and pass-through entities. Regulation of passive investment in U.S. securities and other assets by non-U.S. investors. Tax reform in non-U.S. jurisdictions. Pending legislation on international tax reform. H.R. 2003 -- To amend the Internal Revenue Code of 1986 to impose a tax on transactions in oil futures, options, and swaps, and for other purposes. H.R. 2669 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. H.R. 3313 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. H.R. 4016 -- To amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities. S. 1346 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. S. 1549 -- To provide tax relief for American workers and businesses, to put workers back on the job while rebuilding and modernizing America, and to provide pathways back to work for Americans looking for jobs. S. 1787 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. S. 2075 -- To close unjustified corporate tax loopholes, and for other purposes. S. 2343 --- Amends title IV (Student Assistance) of the Higher Education Act of 1965 to make the 3.4% interest rate on Direct Stafford loans first disbursed to undergraduate students between July 1, 2011, and July 1, 2012, applicable to Direct Stafford loans first disbursed to undergraduate students between July 1, 2011, and July 1, 2013. S.A. 1931 --- Amendment to H.R. 3606 --- To amend the definition of the term `held of record' pursuant to section 12(g)(5) of the Securities Exchange Act of 1934 (15. U.S.C. 781(g)(5)) to include beneficial owners of such class of securities. Amendment #2 Budget Reconciliation Legislative Recommendations of the Committee on Financial Services. To impose a risk-based tax on hedge funds with $10 billion or more in assets under management on a consolidated basis and on other financial companies with $50 billion or more in total consolidated assets.

Client expense: $1,030,000 · Firm income: Not reported

Government targets: Commodity Futures Trading Commission (CFTC), HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of

Tax Reform: No specific bill but asked that Congress take a comprehensive approach to tax reform and not enact reform for C corporations at the expense of flow-through entities, including partnerships, S corporations and LLCs. We also asked policymakers not to tax flow-through entities with revenues over certain thresholds as C corporations or to pass legislation that would disadvantage real estate relative to other industries. We further requested that Congress maintain the deductibility of business interest and the Low-Income Housing Tax Credit. Finally, we urged Congress to enact permanent estate tax reform with a $5 million exemption, 35 percent top rate, and a retention of stepped-up basis rules. Carried interest: We opposed changes to current law as part of any legislation. We also specifically opposed H.R. 4016, to amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities. (all provisions) Low-Income Housing Tax Credit: H.R. 3661 and S. 1989. To make permanent the 9 percent tax credit for the Low-Income Housing Tax Credit (LIHTC) and to extend the same policy to 4 percent LIHTCs for acquisition. (all provisions) We also urged Congress to preserve the Low-Income Housing Tax Credit as part of any tax reform effort. Finally, although no bill is pending, we urged Congress to support making the Low-Income Housing Tax Credit more flexible by allowing developments to qualify if 40 percent of units go to families with income that average no more than 60 percent of area median income. No bill yet introduced, but we support an extension of the 2001/2003 tax cuts affecting tax rates applicable to income, capital gains and dividends, and the estate tax. Tax Extenders: We asked that Congress extend the following expired tax incentives: New Markets Tax Credit (IRC Section 45D); Energy Efficient New Homes Tax Credit (IRC Section 45L); Grants for specified energy property in lieu of tax credits (IRC Section 48(d)); Increased AMT exemption amount (IRC Section 55(d)); Additional 100 Bonus Depreciation (IRC Section 168(k)); and Expensing of Brownfield Remediation Costs (IRC Section 198). H.R. 9, Small Business Tax Cut (all provisions) S. 2237. Small Business Jobs and Tax Relief Act. Section 2: Temporary Tax Credit for Increased Payroll. Section 3: Extension of Allowance of Bonus Depreciation for Certain Business Assets. S. 2343, Stop the Student Loan Interest Rate Hike of 2012, Section 3: Employment Tax Treatment of Professional Service Businesses H.R. 2989 and S. 1616. To exempt certain stock real estate investment trusts from the tax on foreign investments in United States real property interests. (all provisions) H.R. 5746, Update and Streamline REIT Act of 2012. (all provisions) IRS Temporary (T.D. 9564) and proposed rules (REG-168745-03) regarding deduction and capitalization of expenditures related to tangible property under IRC 263(a) No bill yet introduced, but we support the extension and Modification of the current Energy Efficient Commercial Buildings Deduction (IRC 179D) and a proposed new Deduction for Retrofits of Existing and Commercial Multifamily Buildings (new IRC 179F) and Section 45L, and ARRA, Section 1603

Client expense: $480,000 · Firm income: Not reported

Government targets: Army, Dept of (Corps of Engineers), Bureau of Citizenship & Immigration Services (BCIS), Energy, Dept of, Environmental Protection Agency (EPA), Equal Employment Opportunity Commission (EEOC), Federal Communications Commission (FCC), Federal Deposit Insurance Corporation (FDIC), Federal Housing Finance Agency (FHFA), Federal Reserve System, HOUSE OF REPRESENTATIVES, Homeland Security, Dept of (DHS), Housing & Urban Development, Dept of (HUD), Justice, Dept of (DOJ), Labor, Dept of (DOL), Natl Economic Council (NEC), Natl Labor Relations Board (NLRB), Office of Management & Budget (OMB), Office of the Comptroller of the Currency (OCC), SENATE, Securities & Exchange Commission (SEC), Small Business Administration (SBA), Treasury, Dept of, White House Office

H.R. 942 - American Research and Competitiveness Act of 2011 (R&D tax credits) H.R. 4 & S. 18 - Small Business Paperwork Mandate Elimination Act (1099 reporting) H.R. 428, S. 106 & S. 1012 - Telephone Excise Tax Repeal Act of 2011 H.R. 1002 & S. 543 - Wireless Tax Fairness Act of 2011 H.R. 1439 - Business Activity Tax Simplification Act H.R. 1864 - Mobile Workforce State Income Tax Simplification Act H.R. 2735 - To amend the IRC of 1986 to make permanent the look-through treatment of payments between related controlled foreign corporations H.R. 3179 - Marketplace Equity Act (to improve the States' rights to enforce the collection of State sales and use tax laws) H.R. 3630 - Temporary Payroll Tax Cut Continuation Act of 2011 (aka Middle Class Tax Relief and Job Creation Act; JOBS Act of 2011) H.R. 4016 - Carried Interest Fairness Act of 2012 H.R. 4196 & S. 2240 - To amend the IRC of 1986 to extend the allowance for bonus depreciation for certain business assets H.R. 674, S. 89 & S. 164 - Withholding Tax Relief Act of 2011 (to amend the IRC of 1986 to repeal imposition of 3% withholding on certain payments made to vendors by government entities) H.R. 1860 & S. 971 - Digital Goods and Services Tax Fairness Act of 2011 H.R. 2701 & S. 1452 Main Street Fairness Act H.R. 3091 - To make permanent the individual tax rates for capital gains and dividends S. 135 - Permanent Internet Tax Freedom Act of 2011 S. 1647 - A bill to repeal the sunset on the reduction of capital gains rates for individuals and on the taxation of dividends of individuals at capital gains rates S. 1832 - Marketplace Fairness Act (a bill to restore States' rights to enforce State and local sales and use tax laws) S. 2237 - Small Business Jobs and Tax Relief Act VoIP Sourcing tax legislation/Mobile Telecomminications Sourcing Act technical corrections Internet tax fairness State and local taxation of telecommunications/the internet/digital goods Retirement and pension plan funding U.S. taxation of foreign earnings Corporate tax reform/tax rates International tax reform Dividend taxation Energy tax legislation Carried interest legislation Treasury guidance on the Economic Substance Doctrine IRS rules on uncertain tax positions (Ann. 2010-30) Telephone excise tax repeal Telecommunications equipment depreciation 100% expensing Cost recovery and depreciation issues, including expensing and net operating loss carrybacks Tax treatment of employer provided cell phones Tax treatment of gain in certain spin-off transactions CFC look-through treatment Research tax credit Employer education assistance Federal telecommunications excise tax application to wireless fees PBGC insurance premiums

Client expense: $3,940,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, Health & Human Services, Dept of (HHS), Internal Revenue Service (IRS), SENATE, Treasury, Dept of, White House Office

Federal tax issues affecting private equity firms, including: - Administration FY 2013 Budget Proposals - Tax Reform and Deficit Reduction - H.R. 4016, Carried Interest Fairness Act of 2012

Client expense: Not reported · Firm income: $90,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE, Treasury, Dept of

H.R. 1265/S. 687 - BOMA supports legislation to amend the Internal Revenue Code of 1986 to permanently estend the 15-year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. H.R. 4016 - Carried Interest Fairness Act of 2012 - BOMA opposes this legislation S. 1035/H.R. 1792, Fire Sprinkler Incentive Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to allow: (1) 100% expensing in a current taxable year of the cost of an automated fire sprinkler system, as defined by this Act; and (2) accelerated depreciation (i.e., a 15-year recovery period) of such an automated fire sprinkler system that is installed in a building where the floor of any occupiable story is greater than 75 feet above the lowest level of fire department vehicle access. S. 1575/H.R. 2962, Roofing Efficiency Jobs Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to classify any qualified energy-efficient cool roof replacement property as 20-year property for depreciation purposes. S. 1616/H.R. 2989, FIRPTA - BOMA supports legislation to amend the Internal Revenue Code of 1986 to exempt certain stock of real estate investment trusts from the tax on foreign investments in United States real property interests. S. 1549/H.R. 12, The American Jobs Act of 2011 - BOMA opposes the provision within this legislation that would change the taxing of the carried interest of a commercial real estate partnership from a capital gain to ordinary income. S.2252 -- Rebuild America Act - BOMA opposes this legislation as it contains carried interest provisions.

Client expense: $51,000 · Firm income: Not reported

Government targets: Energy, Dept of, Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, SENATE

Provisions related to the tax treatment of private equity in the Administration budget proposals and various tax reform proposals; H.R. 4016 - Carried Interest Tax Fairness Act of 2012, all provisions; Proposals to alter the tax treatment of interest deductibility; Proposals to alter the tax treatment of pass-through businesses.

Client expense: $640,000 · Firm income: Not reported

Government targets: Commerce, Dept of (DOC), Federal Deposit Insurance Corporation (FDIC), Federal Reserve System, HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of, White House Office

H.R. 4016 - "Carried Interest Taxation Fairness Act" - lobbied against changing the tax treatment of real estate partnership carried interest compensation from capital gains to ordinary income. S. 1832 "The Marketplace Fairness Act" and H.R. 3179 " The Marketplace Equity Act" - lobbied to support the collection of remote sales and use taxes owed to state and local governments. Leasehold Improvement Depreciation: lobbied to pass tax provisions for 15-year leasehold improvement depreciation. Brownfields Remediation Expensing: lobbied to pass tax provisions for the expensing of brownfields remediation costs, and to provide a "carry-forward" provision allowing developers to use the incentive in future years.

Client expense: $201,359 · Firm income: Not reported

Government targets: Army, Dept of (Corps of Engineers), Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, SENATE

FY2012 Budget of the United States Government (Carried Interest). S. 208. To amend the Internal Revenue Code of 1986 to extend the 100 percent exclusion for gain on certain small business stock. H.R. 4016, Carried Interest Fairness Act of 2012

Client expense: Not reported · Firm income: $70,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE

S.1452, H.R.2701, "The Main Street Fairness Act," to promote simplification and fairness in the administration and collection of sales and use taxes. All provisions. Proposal to amend Section 118 of the Internal Revenue Code regarding capital contributions by a non-shareholder to include partnerships. No bill introduced. H.R.2989, "Real Estate Jobs & Investment Act of 2011," all provisions. Tax reform specifically addressing concerns about pass through and depreciation. H.R.1265, to amend the IRC of 1986 to permanently extend the 15 year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. All provisions. S.1832, "The Marketplace Fairness Act," to improve the states' rights to enforce the collection of state sales and use tax laws and for other purposes. All provisions. H.R.3179, "The Marketplace Equity Act," to restore states' sovereign rights to enforce state and local sales and use tax laws and for other purposes. All provisions. H.R.4016, Carried Interest Fairness Act of 2012." All provisions. H.R.5746, "Update and Streamline REIT Act of 2012." All provisions. S.1616, "Real Estate Investment and Jobs Act of 2012." All provisions.

Client expense: $771,704 · Firm income: Not reported

Government targets: Energy, Dept of, Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, Office of Management & Budget (OMB), SENATE

Meetings and calls with Members and staff of House and Senate Committees and agency officials concerning possible legislation, regulatory measures, and Congressional studies on tax reform issues affecting hedge funds and other alternative investments, including: enterprise value, carried interest, and pass-through entities. Regulation of passive investment in U.S. securities and other assets by non-U.S. investors. Tax reform in non-U.S. jurisdictions. Pending legislation on international tax reform. H.R. 2003 -- To amend the Internal Revenue Code of 1986 to impose a tax on transactions in oil futures, options, and swaps, and for other purposes. H.R. 2669 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. H.R. 3313 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. H.R. 3630 -- To extend the payroll tax holiday, unemployment compensation, Medicare physician payment, provide for the consideration of the Keystone XL pipeline, and for other purposes. H.R. 4016 -- To amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities. S. 1346 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. S. 1549 -- To provide tax relief for American workers and businesses, to put workers back on the job while rebuilding and modernizing America, and to provide pathways back to work for Americans looking for jobs. S. 1787 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. S. 1813 -- To reauthorize Federal-aid highway and highway safety construction programs, and for other purposes. S. 2075 -- To close unjustified corporate tax loopholes, and for other purposes.

Client expense: $1,110,000 · Firm income: Not reported

Government targets: Commodity Futures Trading Commission (CFTC), HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of

Meetings and calls with Members and staff of House and Senate Committees and agency officials concerning possible legislation, regulatory measures, and Congressional studies on tax reform issues affecting hedge funds and other alternative investments, including: enterprise value, carried interest, and pass-through entities. Regulation of passive investment in U.S. securities and other assets by non-U.S. investors. Tax reform in non-U.S. jurisdictions. Pending legislation on international tax reform. H.R. 2003 -- To amend the Internal Revenue Code of 1986 to impose a tax on transactions in oil futures, options, and swaps, and for other purposes. H.R. 2669 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. H.R. 3313 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. H.R. 3630 -- To extend the payroll tax holiday, unemployment compensation, Medicare physician payment, provide for the consideration of the Keystone XL pipeline, and for other purposes. H.R. 4016 -- To amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities. S. 1346 -- To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes. S. 1549 -- To provide tax relief for American workers and businesses, to put workers back on the job while rebuilding and modernizing America, and to provide pathways back to work for Americans looking for jobs. S. 1787 -- To amend the Internal Revenue Code of 1986 to impose a tax on certain trading transactions. S. 1813 -- To reauthorize Federal-aid highway and highway safety construction programs, and for other purposes. S. 2075 -- To close unjustified corporate tax loopholes, and for other purposes.

Client expense: $1,100,000 · Firm income: Not reported

Government targets: Commodity Futures Trading Commission (CFTC), HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of

H.R. 942 - American Research and Competitiveness Act of 2011 (R&D tax credits) H.R. 4 & S. 18 - Small Business Paperwork Mandate Elimination Act (1099 reporting) H.R. 428, S. 106 & S. 1012 - Telephone Excise Tax Repeal Act of 2011 H.R. 1002 & S. 543 - Wireless Tax Fairness Act of 2011 H.R. 1439 - Business Activity Tax Simplification Act H.R. 1864 - Mobile Workforce State Income Tax Simplification Act H.R. 2735 - To amend the IRC of 1986 to make permanent the look-through treatment of payments between related controlled foreign corporations H.R. 3179 - Marketplace Equity Act (to improve the States' rights to enforce the collection of State sales and use tax laws) H.R. 3630 - Temporary Payroll Tax Cut Continuation Act of 2011 (aka Middle Class Tax Relief and Job Creation Act; JOBS Act of 2011) H.R. 4016 - Carried Interest Fairness Act of 2012 H.R. 4196 & S. 2240 - To amend the IRC of 1986 to extend the allowance for bonus depreciation for certain business assets H.R. 674, S. 89 & S. 164 - Withholding Tax Relief Act of 2011 (to amend the IRC of 1986 to repeal imposition of 3% withholding on certain payments made to vendors by government entities) H.R. 1860 & S. 971 - Digital Goods and Services Tax Fairness Act of 2011 H.R. 2701 & S. 1452 Main Street Fairness Act H.R. 3091 - To make permanent the individual tax rates for capital gains and dividends S. 135 - Permanent Internet Tax Freedom Act of 2011 S. 543 - Wireless Tax Fairness Act of 2011 S. 1207 - Data Security and Breach Notification Act of 2011 S. 1647 - A bill to repeal the sunset on the reduction of capital gains rates for individuals and on the taxation of dividends of individuals at capital gains rates S. 1832 - Marketplace Fairness Act (a bill to restore States' rights to enforce State and local sales and use tax laws) S. 2237 - Small Business Jobs and Tax Relief Act VoIP Sourcing tax legislation Internet tax fairness State and local taxation of digital goods State and local taxation of telecommunications Retirement and pension plan funding U.S. taxation of foreign earnings Corporate tax reform/tax rates International tax reform Dividend taxation Energy tax legislation Carried interest legislation Treasury guidance on the Economic Substance Doctrine IRS rules on uncertain tax positions (Ann. 2010-30) Telephone excise tax repeal Telecommunications equipment depreciation 100% expensing Cost recovery and depreciation issues, including expensing and net operating loss carrybacks Tax treatment of employer provided cell phones Tax treatment of gain in certain spin-off transactions CFC look-through treatment Research tax credit Employer education assistance Federal telecommunications excise tax application to wireless fees PBGC insurance premiums

Client expense: $4,510,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, Health & Human Services, Dept of (HHS), Internal Revenue Service (IRS), SENATE, Treasury, Dept of, White House Office

Carried interest and other tax reforms; H.R. 4016, Carried Interest Fairness Act of 2012.

Client expense: Not reported · Firm income: $130,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE, Treasury, Dept of

H.R. 1265/S. 687 - BOMA supports legislation to amend the Internal Revenue Code of 1986 to permanently estend the 15-year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. S. 1035/H.R. 1792, Fire Sprinkler Incentive Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to allow: (1) 100% expensing in a current taxable year of the cost of an automated fire sprinkler system, as defined by this Act; and (2) accelerated depreciation (i.e., a 15-year recovery period) of such an automated fire sprinkler system that is installed in a building where the floor of any occupiable story is greater than 75 feet above the lowest level of fire department vehicle access. S. 1575/H.R. 2962, Roofing Efficiency Jobs Act of 2011 - BOMA supports legislation to amend the Internal Revenue Code to classify any qualified energy-efficient cool roof replacement property as 20-year property for depreciation purposes. S. 1616/H.R. 2989, FIRPTA - BOMA supports legislation to amend the Internal Revenue Code of 1986 to exempt certain stock of real estate investment trusts from the tax on foreign investments in United States real property interests. S. 1549/H.R. 12, The American Jobs Act of 2011 - BOMA opposes the provision within this legislation that would change the taxing of the carried interest of a commercial real estate partnership from a capital gain to ordinary income. S.2252 -- Rebuild America Act H.R. 4016 -- Carried Interest Fairness Act of 2012

Client expense: $51,000 · Firm income: Not reported

Government targets: Energy, Dept of, HOUSE OF REPRESENTATIVES, SENATE

HR4336- To amend the Internal Revenue Code of 1986 to extend the exclusion from gross income of discharges of qualified principal residence indebtedness, regarding issues on exclusion for mortgage debt forgiveness; HR4016-Carried Interest Fairness Act of 2012, general issues regarding carried interest; HR749- To amend the Internal Revenue Code of 1986 to permanently extend the subpart F, regarding AFE extension; HR 3877, S2083-1099K Overreach Prevention Act, regarding issues relating to Section 6050W; HR 940, S1835-United States Covered Bond Act of 2011, regarding issues related to covered bonds; General issues relating to Corporate tax reform; General issues relating to taxation of mass transit benefits.

Client expense: $820,000 · Firm income: Not reported

Government targets: Commodity Futures Trading Commission (CFTC), Federal Deposit Insurance Corporation (FDIC), HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of

Federal tax issues affecting private equity firms, including: - Administration FY 2013 Budget Proposals - Tax Reform and Deficit Reduction - H.R. 4016, Carried Interest Fairness Act of 2012

Client expense: Not reported · Firm income: $90,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE, Treasury, Dept of

Provisions related to the tax treatment of private equity in the Administration budget proposals, tax reform, and deficit reduction legislation; H.R. 4016 - Carried Interest Tax Fairness Act of 2012, all provisions.

Client expense: $500,000 · Firm income: Not reported

Government targets: Commerce, Dept of (DOC), Federal Deposit Insurance Corporation (FDIC), Federal Reserve System, HOUSE OF REPRESENTATIVES, SENATE, Securities & Exchange Commission (SEC), Treasury, Dept of, White House Office

H.R. 4016 - "Carried Interest Taxation Fairness Act" - lobbied against changing the tax treatment of real estate partnership carried interest compensation from capital gains to ordinary income. S. 1832 "The Marketplace Fairness Act" and H.R. 3179 " The Marketplace Equity Act" - lobbied to support the collection of remote sales and use taxes owed to state and local governments. Leasehold Improvement Depreciation: lobbied to pass tax provisions for 15-year leasehold improvement depreciation. Brownfields Remediation Expensing: lobbied to pass tax provisions for the expensing of brownfields remediation costs, and to provide a "carry-forward" provision allowing developers to use the incentive in future years.

Client expense: $239,437 · Firm income: Not reported

Government targets: Army, Dept of (Corps of Engineers), Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, SENATE

Tax Reform: No specific bill but asked that Congress take a comprehensive approach to tax reform and not enact reform for C corporations at the expense of partnerships, including S corporations and LLCs. We also asked policymakers not to tax partnerships with revenues over certain thresholds as C corporations or to pass legislation that would disadvantage real estate relative to other industries. We also asked that Congress maintain the deductibility of business interest and the Low-Income Housing Tax Credit. Carried interest: We opposed changes to current law as part of any legislation. We also specifically opposed: H.R. 4016, to amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of personal service income earned in pass-thru entities, all provisions. Estate Tax Reform: No specific bill but urged Congress to enact permanent estate tax reform with a $5 million exemption, 35 percent top rate, and a retention of stepped-up basis rules. Low-Income Housing Tax Credit: H.R. 3661 and S. 1989. To make permanent the 9 percent tax credit for the Low-Income Housing Tax Credit (LIHTC) and to extend the same policy to 4 percent LIHTCs for acquisition. (all provisions) We also urged Congress to preserve the Low-Income Housing Tax Credit as part of any tax reform effort. Finally, although no bill is pending, we urged Congress to support making the Low-Income Housing Tax Credit more flexible by allowing developments to qualify if 40 percent of units go to families with income that average no more than 60 percent of area median income. Energy Efficient Commercial Buildings Deduction, IRC Section 179D & Section 45L, and ARRA, Sec. 1603. Tax Extenders: We asked that Congress extend the following expired tax incentives: New Markets Tax Credit (IRC Section 45D); Energy Efficient New Homes Tax Credit (IRC Section 45L); Grants for specified energy property in lieu of tax credits (IRC Section 48(d)); Increased AMT exemption amount (IRC Section 55(d)); Additional 100 Bonus Depreciation (IRC Section 168(k)); and Expensing of Brownfield Remediation Costs (IRC Section 198). S. Amdt. 1812 to S. 1813, provisions extending the Energy Efficient New Homes Tax Credit and the extension of Grants for Specified Energy Property in Lieu of Tax Credits. H.R. 4196, to amend the Internal Revenue Code to extend the allowance of 100 percent bonus depreciation for certain assets through 2012 S. 2204, Section 109, Extension of Credit of Energy Efficient New Homes and Section 116, Extension of Grants for Specified Energy Property in Lieu of Tax Credits H.R. 3630 Middle Class Tax Relief and Job Creation Act of 2011 (House-passed bill).. Section 1201: Extension of allowance for bonus depreciation for certain business assets. Section 2001: Extension of temporary employee payroll tax reduction through 2012. H.R. 3630. Middle Class Tax Relief and Job Creation Act of 2012 (Conference Agreement). Section 1001: Extension of temporary employee payroll tax reduction through 2012. H.R. 9, Small Business Tax Cut (all provisions) IRS Temporary (T.D. 9564) and proposed rules (REG-168745-03) regarding deduction and capitalization of expenditures related to tangible property under IRC 263(a) No specific bill, but analyzed potential for renter-side tax credit. H.R. 2989 and S. 1616. To exempt certain stock real estate investment trusts for the purchase of foreclosed single family homes to be put on the rental market.

Client expense: $443,000 · Firm income: Not reported

Government targets: Bureau of Citizenship & Immigration Services (BCIS), Consumer Product Safety Commission (CPSC), Energy, Dept of, Environmental Protection Agency (EPA), Equal Employment Opportunity Commission (EEOC), Federal Communications Commission (FCC), Federal Deposit Insurance Corporation (FDIC), Federal Housing Finance Agency (FHFA), Federal Reserve System, HOUSE OF REPRESENTATIVES, Homeland Security, Dept of (DHS), Housing & Urban Development, Dept of (HUD), Labor, Dept of (DOL), Natl Economic Council (NEC), Natl Labor Relations Board (NLRB), Office of Management & Budget (OMB), Office of the Comptroller of the Currency (OCC), SENATE, Securities & Exchange Commission (SEC), Small Business Administration (SBA), Treasury, Dept of, White House Office

FY2012 Budget of the United States Government (Carried Interest). S. 208. To amend the Internal Revenue Code of 1986 to extend the 100 percent exclusion for gain on certain small business stock. H.R. 4016, Carried Interest Fairness Act of 2012

Client expense: Not reported · Firm income: $70,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE

S.1452, H.R.2701, "The Mainstreet Fairness Act," to promote simplification and fairness in the administration and collection of sales and use taxes. All provisions. Proposal to amend Section 118 of the Internal Revenue Code regarding capital contributions by a non-shareholder to include partnerships. No bill introduced. H.R.2989, "Real Estate Jobs & Investment Act of 2011," all provisions. H.R.1147, "The Community Recovery and Enhancement Act," amends the IRC to allow a new tax deduction for 50% of equity investment in commercial real property made to reduce the amount of indebtness secured by commercial real property. Tax reform specifically addressing concerns about pass through and depreciation. H.R.1265, to amend the IRC of 1986 to permanently extend the 15 year recovery period for qualified leasehold improvement property, qualified restaurant property, and qualified retail improvement property. S.1832, "The Marketplace Fairness Act," to improve the states' rights to enforce the collection of state sales and use tax laws and for other purposes. All provisions. H.R.3179, "The Marketplace Equity Act," to restore states' sovereign rights to enforce state and local sales and use tax laws and for other purposes. All provisions. H.R.4016, Carried Interest Fairness Act of 2012."

Client expense: $580,054 · Firm income: Not reported

Government targets: Army, Dept of (Corps of Engineers), Energy, Dept of, Environmental Protection Agency (EPA), HOUSE OF REPRESENTATIVES, Office of Management & Budget (OMB), SENATE

HR 4016 Hazmat Bill: changes to regulations regarding transportation of lithium ion batteries.

Client expense: $160,000 · Firm income: Not reported

Government targets: HOUSE OF REPRESENTATIVES, SENATE

Assist with HR 4016 on lithium ion batteries and transportation issues. Assist with S. 298: Charging America Forward Act on lithium ion batteries and transportation issues.

Client expense: Not reported · Firm income: $50,000

Government targets: HOUSE OF REPRESENTATIVES, SENATE, Transportation, Dept of (DOT)