Ireland proposes 90% bank bonus tax

[Newsjock]

Source: Reuters

Irish Finance Minister Brian Lenihan said on Thursday he would impose a 90 per cent tax on bankers’ bonuses, in a move to try to silence critics who have said the banking sector drove Ireland into the ground.

... The Irish Independent reported on Thursday that Allied Irish Bank would pay out €40-million in bonuses to its executives.

Local media said that would not be subject to Mr. Lenihan’s proposed charge since the bonuses were for work done in 2008. Once the state’s largest listed lender, Allied Irish is facing a majority state ownership due to additional capital requirements.

The opposition centre-right Fine Gael party, which is likely to lead the next coalition government after an election next year, said a tax should apply to the Allied Irish bonus.

“We want them taxed at 99 per cent because we believe it’s immoral to use taxpayers’ money that was used to bail out the banks to pay bonuses,” Fine Gael deputy leader James Reilly told Irish television.



Read more: http://www.theglobeandmail.com/report-on-business/ireland-proposes-90-bank-bonus-tax/article1831709/

[Hassin Bin Sober]

1. So much for Ireland being the American right-wing's tax pet.

[dhill926]

2. good........

it's a start.

[texshelters]

3. Ireland is just the latest example of banks screwing up

then making off like bandits. If they could get this through, it would be great. As of now, the Irish are taking it on the chin for what the banks did even though they still have cash reserves. It's absurd. However, it appears the chickens have come home to roost; this type of structural adjustment has had debilitating effects on the third world for years.

Peace,
Tex Shelters

[katty]

4. good!

[Beavker]

5. Hasn't happened yet has it?

Is it a done deal? Some mentioned it in passing here too...we'll see if it comes to fruition.

Best o' luck to them though! I hope it works out!

[defendandprotect]

6. Go Ireland!!

[dipsydoodle]

7. Wicked

Just wicked. :thumbsup:

[14thColony]

8. The centre-RIGHT party wants them taxed at 99 percent!

I'd trade Fine Gael for the US Democratic Party at this point...

[Roy Rolling]

9. but what about "the talent"

If they do, then all the banking stars will flee to other banks. How can they keep the top stars that drove them to the brink of ruin? :sarcasm:

[LiberalEsto]

10. Bravo!

:fistbump: :woohoo:

[Waiting For Everyman]

11. A very smart thing to do. We should too.

Outrageous compensation will stop when it only gets taxed away. It's a way of stopping bad behavior, which over-paying themselves certainly is.

It should be done for all careers though, not just bankers. It would help a LOT to make lots of things more affordable again (a movie or sports event, for instance?). And it would begin to turn around the flood of wealth from the bottom to the top - where it stagnates and does nothing but enable trouble for the rest of society for no reason.