The initial proposal here is to tax bonuses paid out to bank executives for expressly punitive purposes. This is copy-cat to something that the socialist kleptomaniacs in the UK imposed on their bankers in December of 2009. (See Make Them Work for Free Dammit!)
Reported in The Hill.
Rep. Peter Welch (D-Vt.) will introduce legislation that would impose a 50% tax on excessive bonuses at firms that received bailout funds.
The "Wall Street Bonus Tax Act" would apply only to bonuses over $50,000, and would use the tax revenue to support loans to small businesses.
Democrat Congresscritter Peter Welch's claim that the tax would be used “to support loans to small businesses” is pure bullshit. This is taxation being used as a weapon. It is just that simple.
*“The percentage of taxes on GDP (in Pakistan) is among the lowest in the world... We (the United States) tax everything that moves and doesn’t move, and that’s not what we see in Pakistan,” - Sec. Of State, Hillary Rodham Clinton(D) October 2009.