U.S. House Passes 90 Percent Tax on Employee Bonuses

[Spartacus]

Re: FINALLY they bit the hand that feeds them - NOW

I beg to differ. This was one of the legislative branchs greatest piece of work. They should all be proud of themselves. I know it took a lot of courage to vote this through. I hope they rest well tonight. With leadership the likes of Dodd, Rangle, Schumer, and Frank. I feel confindent that the country is now moving in the right direction. Tomorrow I plan to finally throw out my Ron Paul yard sign.

what I'm saying is that the hedge fund managers and private equity managers that got exempted from income tax should have that exemption removed.

This 90% clawback tax is a step in the right direction.

In Other Words, we agree ... If only they can take their new found courage and apply it to the hedgies and PE guys

[cjppjc]

Re: FINALLY they bit the hand that feeds them - NOW

what I'm saying is that the hedge fund managers and private equity managers that got exempted from income tax should have that exemption removed.

This 90% clawback tax is a step in the right direction.

In Other Words, we agree ... If only they can take their new found courage and apply it to the hedgies and PE guys

My post was totally sarcastic. They showed no courage. Playing to the lynch mob. Those people would throw their mother under the bus if necessary. I do agree with you about the tax rate for hedge fund managers.

[raja]

Re: U.S. House Passes 90 Percent Tax on Employee Bonuses

This is the reason we are not "all in" in gold. If it becomes unpopular with the people as a symbol of "hoarding" versus "putting money into the economy," for example, politicians will respond. A 90% sales tax will do it. This is that principle at work.

I agree with the diversification argument for not going "all in" with gold . . . but taxing gold because it keeps money out of the economy is the same logically as taxing savings accounts for the same reason. I think they'd have to come up with a better reason than that.

[LargoWinch]

Re: U.S. House Passes 90 Percent Tax on Employee Bonuses

I agree with the diversification argument for not going "all in" with gold . . . but taxing gold because it keeps money out of the economy is the same logically as taxing savings accounts for the same reason. I think they'd have to come up with a better reason than that.

They have the bullhorn and they will convince the masses that gold hoarders are contributing to the "credit crunch" (what a stupid term heh?) and unemployment etc. etc....and voila!

[tastymannatees]

Re: U.S. House Passes 90 Percent Tax on Employee Bonuses

Not buying gold for that reason makes no sense to me. There is nothing to stop the politicians from imposing a 90 percent tax on a whole range of natural resources - if anything, there is a higher risk of being taxed if you own an essential commodity like oil. I mean let's face it, gold isn't really necessary for survival is it? But oil and food both are.

With gold, the best solution remains to hold it physically off shore. Hoarding on-shore is not a good idea in my view (especially given the nature of the political problems confronting America) - not because of the risk of confiscation but because one won't be able to liquidate in a country where other valuable assets can be bought by liquidating gold.

The "solutions" for Americans looking to preserve their wealth have to be: (1) hold gold offshore; (2) open a foreign currency bank account (any of the solid Asian currencies will do); (3) keep yourself ready to emigrate when things get bad - I mean why stay in the middle of it when the country turns into a banana republic?

What are the alternatives for emigration? My favourite is Singapore but its too small. Australia and Canada are both resource rich nations that may continue to do deals with China and will, therefore, have some money at their disposal. They are also English speaking and one is right across the border!

What's Cap & Trade? Talk about capital controls, Much more to gained than trying to tap the small field of gold holders. They are going for "where the money is" I do not think I would want to be in oil if that goes through. Hell they do not even have to Nationalize the oil industry just tax it to death.

I think oil is probably less of a safe haven than gold...Place your bets

[VIT]

Re: U.S. House Passes 90 Percent Tax on Employee Bonuses

What's Cap & Trade? Talk about capital controls, Much more to gained than trying to tap the small field of gold holders. They are going for "where the money is" I do not think I would want to be in oil if that goes through. Hell they do not even have to Nationalize the oil industry just tax it to death.

I think oil is probably less of a safe haven than gold...Place your bets

It already starts to heating up in US.

Some additional taxation would not be bad for US Oil, but it is just not a good time for that.

[DToM67]

Re: U.S. House Passes 90 Percent Tax on Employee Bonuses

So, if bonuses are taxed @ 90% what do you think they'll call em when it comes time to compensate? Each time I read/hear this I read: Compensate your execs, but find a way to conceal it... No "bonuses"

A lot of BS pageantry... to pull the wool over the eyes of the righteously indignant masses.

[DaveBrown42]

Re: U.S. House Passes 90 Percent Tax on Employee Bonuses

This is the reason we are not "all in" in gold. If it becomes unpopular with the people as a symbol of "hoarding" versus "putting money into the economy," for example, politicians will respond. A 90% sales tax will do it. This is that principle at work.

My thoughts exactly when I heard about the 90% bonus tax. However, unlike those that received AIG bonuses, I'm not a high-profile individual; my hope is that if a political storm develops around gold, my blip will be small enough to go undetected on the IRS radar. I also will have no qualms about tax evasion if taxation is used to commit blatant theft from me.

I am a bit worried that Bullionvault could be forced to comply if the US Gov't demanded that US Citizens' gold (or records of that gold) be turned over. The UK and Swiss governments will do whatever Uncle Sam asks of them, so I'm starting to think BV may not be the best place in the long run...