John Hinderaker of Powerline is enormously upset about the prospect of a banana republic developing in the United States, because we are about to start confiscating the hard-earned wealth of bank tellers:
Wells Fargo didn’t want any TARP money, but the government forced it to take more than $5 billion worth, so Wells Fargo employees who receive bonuses would be subject to Pelosi’s proposed tax. Say you’re a teller at a Wells Fargo branch in Minnesota and you’re married to a lawyer who makes $250,000 this year. You get a $10,000 bonus for your good work during 2008. The government steals it all (90 percent federal plus 8.5 percent state plus, unless it’s included in the 90 percent, 3 percent Medicare). That is simply insane.
Indeed, it is insane. Given that bank tellers average salaries of $22,000/year in the United States, it’s hard to imagine that many of them are taking home bonuses that equal half of their salaries.
Is there any scenario under which conservatives in this country will concede that highly-compensated individuals at financial companies need to begin paying reasonable tax rate? Or that it’s incredibly irresponsible to award bonuses to the very people responsible for the economic crisis?
It appears not.