If you stop allowing interest to be deducted then it makes it much harder for a business to expand. The only way to end a LBO loophole is to accelerate depreciation and liberating some opcost deductions to offset so a business can expand. So all of these loans coming due and the feds impose a 100 billion dollar tax on these same companies will accelerate the crash, not solve it. If the companies are so insolvent why is Kosman braying about how much money the feds will get?

LBO's have been around since the early 1950's or even earlier if you consider a bustout an LBO. John D McDonald wrote a novel about the practice as described by Kosman around 1964. Kosman hasnt made a new discovery, he is writing about a well known (at least in circles that follow business practices) for a long time.

so language is inserted that LBO companies borrowing money cant deduct the interest. Honest yer honor it wasnt to leverage a buyout we needed to borrow that money anyway. It would be easily weaseled. All interest must be declared non deductable to ensure that LBO is used as an excuse and the legit needs of the companies would be offset with accelerated depreciation and opcost expansion of deductions.