Government Meddling Behind Executive Bonuses

http://www.forbes.com/2009/02/04/wa...nions-contributors_0204_jeffrey_korzenik.html


President Clinton followed through on campaign proposals to limit executive compensation, signing into law the Revenue Reconciliation Act of 1993. Compensation rules within the act became codified in IRC 162(m), which governs the salary-based compensation of the top five executives within publicly traded companies. The rule influences compensation by limiting the deductibility of salary expense to $1 million for each of these executives. Deductibility above that ceiling was permissible as long as the excess came in the form of performance-based compensation, whether cash bonuses or equity-based compensation like options (various technical rules needed to be followed as well).

 

Liberals have this misguided concept of what is "fair" and their efforts to control income are un-American. That is the root of the current problem.

Next will be your income they want to control.

Heck, it already is.

I believe the legislation they just passed, in a fit of phony outrage, is unconstitutional and will be proven so in the future. Meanwhile, they expect a pat on the back for trying to fix the proiblem they caused and specifically authorized.