Anglo-Franco tax on bonuses taken as inevitable in USA
Saturday, 12 December 2009
From Fazle Rashid
NEW YORK, Dec 11: France has joined Britain in levying 50 per cent one-time tax on yearly bonuses over euro 27,000 this year. In the United States, Democrats are moving fast to enact a regulatory law to rein in the greed in the Wall Street that caused the financial crisis.
The impact of the Anglo-Franco move was immediate. The US banking giants, Goldman Sachs in an announcement yesterday said 30 of its top executives would forgo cash bonuses this year and would be paid in long term stock.
The US banks have accepted the inevitability of the change but they are asking the bank regulators to make the rules easier. Otherwise the banks say they would need to raise more capital or cut back lending, the New York Times reported. The Czarina of the Federal Deposit Insurance Corporation Ms. Sheila Blair has promised to consider the proposals.
Tim Geithner , US treasury secretary is for exempting the small banks from restrictions which have been applied against banks who had accepted bail-out money. The small banks are afraid of being stigmatised for asking for money from the troubled asset relief programme (TARP). This is exacerbating a credit crunch. They dont want to do business with the government, they think it is sign of weakness.
The US president Barack Hossain Obama (Hossain in citation was mentioned just H) accepted the Nobel Peace Prize with all humility stating his accomplishments were " slight " compared with the giants who had won the award in the past. Obama's acceptance of the peace prize coincided with the breaking of the news that the Central Intelligence Agency (CIA) had used private sector security personnel from Blackwater company in clandestine raids against the insurgents in Afghanistan and Iraq, NYT in its lead stroy said today. The secret missions illuminate a far deeper relationship between the spy agncy and the private security company than government officials had acknowledged, the same paper said.
NEW YORK, Dec 11: France has joined Britain in levying 50 per cent one-time tax on yearly bonuses over euro 27,000 this year. In the United States, Democrats are moving fast to enact a regulatory law to rein in the greed in the Wall Street that caused the financial crisis.
The impact of the Anglo-Franco move was immediate. The US banking giants, Goldman Sachs in an announcement yesterday said 30 of its top executives would forgo cash bonuses this year and would be paid in long term stock.
The US banks have accepted the inevitability of the change but they are asking the bank regulators to make the rules easier. Otherwise the banks say they would need to raise more capital or cut back lending, the New York Times reported. The Czarina of the Federal Deposit Insurance Corporation Ms. Sheila Blair has promised to consider the proposals.
Tim Geithner , US treasury secretary is for exempting the small banks from restrictions which have been applied against banks who had accepted bail-out money. The small banks are afraid of being stigmatised for asking for money from the troubled asset relief programme (TARP). This is exacerbating a credit crunch. They dont want to do business with the government, they think it is sign of weakness.
The US president Barack Hossain Obama (Hossain in citation was mentioned just H) accepted the Nobel Peace Prize with all humility stating his accomplishments were " slight " compared with the giants who had won the award in the past. Obama's acceptance of the peace prize coincided with the breaking of the news that the Central Intelligence Agency (CIA) had used private sector security personnel from Blackwater company in clandestine raids against the insurgents in Afghanistan and Iraq, NYT in its lead stroy said today. The secret missions illuminate a far deeper relationship between the spy agncy and the private security company than government officials had acknowledged, the same paper said.