Hedge fund management fees

Kevin Drum informs us that Hedge Fund Managers are treating their mangement fee income as "capital gains" because the fees are largely driven by capital gains. Apparently, the IRS is allowing this. What utter absurdity. These are management fees, not capital gains under any reasonable interpretation of the law, regardless of whether they are tied to performance. This is just one more instance where the Bush White House and the Thuglicans in general give away our country to the rich. Some hedge fund managers earn over $1 billion a year.