Attorney General Richard Blumenthal issued a legal opinion Tuesday that taxing Wall Street bonuses in excess of $1 million is “likely constitutional.”
The Senate Democrats have been seeking an income tax surcharge on bonuses that were awarded by companies that receive federal TARP bailout money.
“In my opinion, a court would likely find the proposed tax on TARP bonuses to be a constitutional exercise of the state’s taxing power,” Blumenthal said in the opinion that was sought by Senate President Pro Tem Donald Williams of Killingly.
The Courant’s longtime banking reporter, Kenneth Gosselin, has the details at http://www.courant.com/business/hc-bailout-money-taxes-0323,0,2042180.story