Wednesday, December 30, 2009
France and Britain have recently enacted new taxes on bankers' bonuses, taxes that will be paid in addition to the standard income taxes that the bankers pay in those countries.
the historically unparalleled -- and growing -- concentrations of income and wealth in the United States, and given that so much of that inequity is a result of our out-of-control financial sector, our leaders should quickly adopt a similar tax on financiers' bonuses here.
Proposals for a "bonus tax" in the United States have elicited the usual denunciations of taxes of any sort, but discussion among more sophisticated analysts has been mixed. Some opponents of the tax suggest -- and even some proponents seem to concede -- that a tax on bonuses might drive "the best and the brightest" from the field of finance. That will not happen.