Follow this link to read the Washington Post story on the recent Tax Ruliing by Treasury Secretary Paulson that gives banks an estimated $140 billion tax break.
It is hard to know what to make of this story. If rescinding this decision would do great harm to the economy, then maybe it was not a bad decision. Should Congress be in the business of making laws that wreck the economy just so they can exert their authority?
If it was a bad decision, then there ought to be a way to put it right without wrecking the economy.
Until this contradiction can be answered, then I don’t think we have enough information to decide what to do. This news story is just the beginning of what we need to know.
Any comment from the tax and economic experts reading this post?