I have been disturbed for the last week about this potential taxing of AIG bonuses, talk of it being as high as 100% to "return it to the American people", which is DC language meaning giving it back to Fedzilla so that they can spend it. The whole reason these bonuses came about, other than being a smoke screen to cover up the $60B being sent overseas, was due to lack of oversight. It would help if the guys we pay to read bills they vote on actually read them, right?
HR 1586 was voted on and passed yesterday by more than 2/3 of the US House of Representatives and will apparently charge a 90% tax on these AIG bonuses as well as others who are receiving bailout money and receive extremely high bonuses out of it. The easy thing would be simply not allow the bonuses to come out, which makes sense, and explains why Congress didn't consider that...but its a little late for that now. I think Congress passing this type of legislation is the wrong precedence because it will open the door for them to do it again, and again, and again when they deem it necessary...and one day may potentially effect most if not all tax payers, not just high paid executives who run their business into the ground. Along with that, i do belive it to be unconstitutional.
Consider Article 1 secion 9 of the US Constitution, which like the so called "stimulus bill" may not have have been read by those in the Congress, which says, "No Bill of Attainder or ex post facto Law shall be passed." And "ex post facto" is an adjective meaning "Formulated, enacted, or operating retroactively. [Med Lat., from what is done afterwards]" Example, passing a ridiculously high tax that is retroactive on a bailout bill that has been previously passed by the Congress. But, why bring the rule of the law into play, right? Why not pass a law after the fact, right?
And there is also that pesky 14th Amendment that says the government will not "deny to any person within its jurisdiction the equal protection of the laws." Taxing one person more just because you don't like something about them denies them equal protection of the law; in fact it makes them victims of the law...it doesn't matter if we agree or disagree with these bailout bonuses.
I think it is important to also note that the 16th Amendment which was proposed in July 1909 and ratified in February 1913 established a federal income tax...it was not part of our founding father's plan and original framing of the Constitution. Meaning that until 1913 a federal income tax was unconstitutional. So, how far from the original plan for our great country have we gone when Congress has taken things this for. This tells me that we no longer have a government that is of the people, by the people, for the people.
The AIG executives and any executives of these companies who are receiving bailout money should not be getting bonus money paid for by the US tax payer for helping ruin our economy. It truly sickens me that this is happening, but it is more sickening that our government would side step the laws of the land in this attack on our Constitution.
