Vermont and New Hampshire’s U.S. representatives voted Thursday to slap punishing taxes on big employee bonuses at companies bailed out by taxpayers.
Democrats Peter Welch of Vermont and Paul Hodes and Carol Shea-Porter of New Hampshire were on the winning side of the vote to impose a 90 percent tax on bonuses given to employees with family incomes above $250,000 dollars at American International Group and other companies.
Hodes said the legislation shows Congress will not stand for business as usual on Wall Street. Shea-Porter said Wall Street executives who caused the financial crisis must be held accountable and that the legislation will ensure that most of the AIG bonuses are recovered immediately.
AIG paid more than $200 million in bonuses after receiving $170 billion in government bailout money.