UK Taxes Banker Bonuses While Goldman Sachs Execs Completely Forego

The United Kingdom will impose a 50% tax on banker bonuses exceeding $40,000 this year.  The tax will be imposed on the banks giving the bonus.  France reportedly plans to follow suit.  In the U.S., such a tax would be more difficult to enact given the power held by bankers.  

Goldman Sachs reportedly announced that its top 30 executives will forego their annual bonus this year, proving that some banks don’t need legislation to curb large bonuses in this economic climate.

See Colin Barr, Is a Bonus Tax in our Future, CNN, Dec. 10, 2009. 

Special thanks to David S. Luber (Attorney at law, Florida Probate Attorney Wills and Estates Law Firm) for bringing this article to my attention.