Even Jeb Bush Wants to End the Tax Deduction for Interest Payments

Andrew Ross Sorkin has a good piece today pointing out that Jeb Bush's tax plan calls for ending the deductibility for corporate interest payments. Under the current system the tax code effectively gives encouragement for companies to borrow, since the interest they pay is tax deductible.

Private equity companies take advantage of this provision, routinely having the companies they acquire borrow as much as possible, often to make payments to the private equity company. This leaves the acquir...