(wire)
Obama calls for bailout tax
President Obama today urged Congress to tax the largest U.S. banks to ensure that taxpayers aren't charged for federal bailouts occurring over the past year.
Known as the financial crisis responsibility fee, the tax would target major financial institutions and affect those that contributed most significantly to the financial crisis and those that received the most help from the government.
According to the President, "My commitment is to recover every single dime the American people are owed. And my determination to achieve this goal is only heightened when I see reports of massive profits and obscene bonuses at the very firms who owe their continued existence to the American people -- who have not been made whole, and who continue to face real hardship in this recession."
Under the proposal, the tax would be in place for at least 10 years, but could stretch longer if deemed necessary. If passed by Congress, it would take effect on June 30 and is estimated to raise $90 billion over 10 years, 60 percent of which is likely to come from the 10 largest financial institutions.
Known as the financial crisis responsibility fee, the tax would target major financial institutions and affect those that contributed most significantly to the financial crisis and those that received the most help from the government.
According to the President, "My commitment is to recover every single dime the American people are owed. And my determination to achieve this goal is only heightened when I see reports of massive profits and obscene bonuses at the very firms who owe their continued existence to the American people -- who have not been made whole, and who continue to face real hardship in this recession."
Under the proposal, the tax would be in place for at least 10 years, but could stretch longer if deemed necessary. If passed by Congress, it would take effect on June 30 and is estimated to raise $90 billion over 10 years, 60 percent of which is likely to come from the 10 largest financial institutions.
