WSJ: The Family Business Revenue Act

(For subscribers: http://online.wsj.com/article/SB1000142405274870462980457532...)

The Congress is "rewriting a half century of partnership tax law with no hearings, no analysis and little debate."

Since for tax purposes a LLC is a partnership, this sounds like another strike at organizing your startup as one (or just starting out as a simple pure partnership). From the limited details in the editorial it doesn't sounds like HN type startups will be affected, although that could change at any moment, but the principles being established are dangerous. As the Federal government gets more and more desperate for revenue, i.e. whenever interest rates spike due to the world having a finite appetite for US Federal debt, the situation will get ugly.

As of yet the whole HN type financial ecosystem has just been experiencing (often just potential, I grant) collateral damage as less popular classes of businesses are targeted ("it's nothing personal"), but eventually the Federal government will run out of those and deliberately cast its net much more widely.