PEs, VCs mull recast to get around GST on carry fee

Top  private equity  (PE) and  venture capital  (VC) funds are a worried lot.  PE and VC funds – looking to resolve the issue of indirect tax on the  carry fee  earned by managers -- are trying to create a step-down entity that will act as a buffer to absorb the charge before passing it on to the main firm.  Carry fee is essentially a share of profit or inve…