Monday, August 17, 2009

Geithner Pulls Punches on UBS for Tax Cheating

CNBC reported on a deal in the works between the U.S. government and Swiss banking giant UBS. The IRS requested 52,000 names of possible tax cheats. The deal has 5,000 coming. What criteria will be used in the Ten Percent Solution? Are the 5,000 names based on:

1. Deposit size
2. Method of sequestration
3. Political connections
4. Political donations
5. Party affiliation

My major disappointment with a court not hearing the case? I wanted UBS Vice Chair Phil Gramm to testify, to tell the whole truth and nothing but the truth. That won't happen. The Government-Industrial Monstrosity looks after its corporate sponsors. Consider this from the NYT:

NZZ am Sonntag said the U.S. government had backed off from the original demands of the Internal Revenue Service (IRS) because the U.S. Treasury Secretary did not want to provoke another financial crisis by pushing UBS over the edge.

Hmmm, a tax cheater having compassion for tax cheats? The solution, pay up late, like Tim Geithner. Modified amnesty...