The Dirty Dozen: 12 Firms Hit By 90% Bonus Tax

The new bonus tax passed by the House today will apply a 90% rate to bonuses paid at firms that have taken over $5 billion from the TARP. While hundreds of banks and other companies have received capital injections from the TARP, only a dozen have taken enough to get hit by this restriction.

If the bill becomes law, here are the 12 firms that would be hit.

  • Citigroup (New York)
  • JPMorgan Chase (New York)
  • Wells Fargo & Co. (San Francisco)
  • Bank of America Corp. (Charlotte, N.C.)
  • Goldman Sachs Group Inc. (New York)
  • Merrill Lynch & Co. (New York)
  • Morgan Stanley (New York)
  • PNC Financial Services Group Inc. (Pittsburgh)
  • US Bancorp (Minneapolis)
  • AIG (New York)
  • General Motors (Detroit)
  • GMAC Financial Service (New York)

In addition, Fannie Mae and Freddie Mac would be subject to the new tax.

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