Obama to tax banks even more

[spidey07]

So let me get this straight. Economy hurting, banks having trouble lending, etc. So what is the best way to kill the economy even more? TAX the banks says Obama. He's doing this on purpose. It's willful and purposeful destruction of our economy. He's taxing based not on TARP receipients, just a wide spread tax based on assets and he's got to audacity to say he's not "punishing" the banks.

No, you're killing them.

http://www.ft.com/cms/s/0/95479042-ffe3-11de-ad8c-00144feabdc0.html

Yet, it is those large banks that are likely to have to bear the brunt of any levy imposed on the industry, especially if the administration decides to link the fee to the size of a lender's balance sheet.

http://seattletimes.nwsource.com/html/businesstechnology/2010788153_apusobamabankfees.html

A senior administration official said the tax, which officials are calling a "financial crisis responsibility fee," would apply only to financial companies with assets of more than $50 billion. Those firms - estimated to amount to about 50 institutions - would have to pay the fee even though many did not accept any taxpayer assistance and most others already paid back their government infusions.

 

[Arkaign]

I thought the banks were back to being so profitable as to pay record bonuses again?

 

[Carmen813]

Heaven forbid they pay for the bailout instead of collecting massive profits from it.

 

[Possessed Freak]

Heaven forbid they pay for the bailout instead of collecting massive profits from it.

If they have some sort of solution for the banks to pay without screwing over the banks' customers, I am all for it. If they don't then they better not mess around with the banks.

 

[Hacp]

Wait, aren't the banks back to profitability? That's what I heard Goldman Sachs say so it must be true! Btw, no one has forgotten the 15 billion Goldman got for free from AIG. We want that money back with interest, possibly the 29% interest that many working Americans are getting through their credit cards.

 

[spidey07]

Heaven forbid they pay for the bailout instead of collecting massive profits from it.

You didn't read the articles. This applies to banks that did not receive any money or that repaid all money in full.

 

[Specop 007]

tax tax tax tax
Hope and Change!

 

[theevilsharpie]

I'm sure there's more to this story than what the article claims, but just taken at face value, I don't see a major problem with a fee. With banks once again posting record profits after the bailout saved them from the brink of disaster, it seems only logical that the government share in their good fortune by regaining some of the money used for the bailout.

 

[spidey07]

I'm sure there's more to this story than what the article claims, but just taken at face value, I don't see a major problem with a fee. With banks once again posting record profits after the bailout saved them from the brink of disaster, it seems only logical that the government share in their good fortune by regaining some of the money used for the bailout.

Even if I as a successful bank did not receive nor want any TARP money? You don't TAX banks just as they're starting to get their head outta water unless you want to purposefully, willfully and intentionally harm them.

 

[PokerGuy]

The Dear Leader is counting on the stupidity of the general populace (heck, that's how he got elected!). He throws out his "punish those evil bankers, lets put another fee on them!" stuff to make it seem like he's taking on the evil wall street companies. The population is too dumb to realize that those fees will simply get passed along to them anyway. This is just a tax increase for the entire population, but the population is apparently too dumb to realize it.

 

[theevilsharpie]

Even if I as a successful bank did not receive nor want any TARP money?

Yes.

You don't TAX banks just as they're starting to get their head outta water unless you want to purposefully, willfully and intentionally harm them.

I would hardly consider billions of dollars in profits in the previous quarter just "starting to get their head outta water."

 

[rudder]

Heaven forbid they pay for the bailout instead of collecting massive profits from it.

All good and well... but not all banks wanted the money but they were "requested" by the administration to take TARP money. Now the government says that although you did not need the money.... you know will pay interest.

 

[boomerang]

Takes a lot of dough to fund a nanny state.

Sometimes you have to tear down what you have to build what you want.

 

[Fizzorin]

Levying a tax or fee on banks is fine by me. Just make sure that whatever the banks pay isn't passed along to customers. Also, only charge the banks that got TARP money. Then when it's all recouped, increase the mandatory FDIC deposit amount considerably.

If they do that, I'm fine. (I know they won't do that b/c it will be impossible to levy a fee/fine/tax that isn't passed on to customers somehow)

 

[ayabe]

Tears of unfathomable fundie sorrow, yummy.

 

[sunzt]

Just heard from Twitter that regional and community banks are exempt from his plan. You can probably google to find a source.

 

[halik]

So let me get this straight. Economy hurting, banks having trouble lending, etc. So what is the best way to kill the economy even more? TAX the banks says Obama. He's doing this on purpose. It's willful and purposeful destruction of our economy. He's taxing based not on TARP receipients, just a wide spread tax based on assets and he's got to audacity to say he's not "punishing" the banks.

No, you're killing them.

http://www.ft.com/cms/s/0/95479042-ffe3-11de-ad8c-00144feabdc0.html



http://seattletimes.nwsource.com/html/businesstechnology/2010788153_apusobamabankfees.html

I think this will amount to very little, since the gov't will end up taking big profits on the preferred warrants they hold. Populist rabble.

I don't necessarily see a problem with it, as it will end up being a tax on "too big to fail" - bank whose size is a negative externality in terms of systematic risk.


Also banks don't have "trouble lending". They're merely realigning their enterprise risk profiles to less exposure, which means less lending compared to pre-2008. This will keep on happening until they shore up their balance sheet and taxes or tarp money won't make any diff here.

 

[Robor]

Wait, I thought Obama sold out to the banks?

 

[StageLeft]

At least he's doing something. This may not be the right thing, who knows.

At least a couple of those banks can pay. IMO with GS paying record bonuses, gouge the fvck out of them now. And how, really grind that out of them.

The banks should all be hacked into pieces anyway, these mega banks are good for nothing.

 

[BigDH01]

I think this will amount to very little, since the gov't will end up taking big profits on the preferred warrants they hold. Populist rabble.

I don't necessarily see a problem with it, as it will end up being a tax on "too big to fail" - bank whose size is a negative externality in terms of systematic risk.


Also banks don't have "trouble lending". They're merely realigning their enterprise risk profiles to less exposure, which means less lending compared to pre-2008. This will keep on happening until they shore up their balance sheet and taxes or tarp money won't make any diff here.

The whole thing seems like a populist move. According to Bloomberg, this will amount to an extra 90 billion dollars over a minimum of 10 years. I think they are just throwing the dogs a bone.

I would much rather time be spent eliminating these banks altogether. What can be done to create a more competitive market with many smaller players (if this is possible at all)? We can we do to combat regulatory capture? How do we prevent such a massive principal-agent problem and subsequent systemic failure in the future?

I'm rather indifferent to the tax when I think about much larger systemic problems.

I'd also like to see a lot of politicians (on both sides), executives, and newly minted criminals (fraud was rampant) thrown in jail or at least heavily fined. I will probably never see this though.

 

[CADsortaGUY]

Populist rabble.

/thread

 

[nick1985]

At least he's doing something.

High expectations, huh?

 

[kage69]

Heaven forbid they pay for the bailout instead of collecting massive profits from it.

I couldn't agree more.

 

[Zebo]

Taxes? They only pay about 1% now. They should be in prison for fraud.

Also you loan me money at 0% and I'll pay any tax you want on profits I make buying your guaranteed treasuries. Furthermore, this is going nowhere, Obama is owned lock stock and barrel by these guys proof is not seizing these insolvent banks the law requires ( "Prompt Corrective Action Law")

You righties are solid idiots when it comes to finance, earning, and investment banking thinking it has anything to do with free market.
Two video you must watch showing it's about what and who you control that makes the market with regard to IBs
http://www.pbs.org/moyers/journal/04032009/watch.html
http://www.pbs.org/moyers/journal/01082010/watch.html

 

[soccerballtux]

http://www.treas.gov/press/releases/tg506.htm

Obama ANNOUNCED an INTENTION to PROPOSE a bill that would impose a tax.
Obama sure does get a lot done these days. He should go back to campaigning. At least that makes me feel good.