I’m as hacked as the next guy regarding the AIG bonus payments. A bonus in my book should be performance-based compensation. Run the company into the ground, you get no bonus. Period. The fact that AIG is contractually obligated to pay out bonus money even though the company would have failed shows depth of ethical decay in our financial industry. Paying bonuses to management that grossly mismanaged their way into a bail-out is absolutely infuriating BUT that does not give our congresscritters the right to levy a 90% tax on the bonus money. This is nothing more than a knee-jerk reaction designed to ride the swell of popular opinion. If this is the kind of leadership we can expect then I suggest we clean house while it’s still standing. We need to fix the system not tax the results.
I’d like to see Congress try to pass a 50% across-the-board income tax and survive intact. Seems we severed ties with a monarch over such issues not so very long ago.
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