Banks get caught breaking the law and the fine becomes a tax deductible expense. Those illegally forced out of homes pay the price twice: once by illegal foreclosures and second by the tax exemptions the banks get. This is on top of the federal bail out of the banks of which Sun Bank of Florida is one listed in the article.
However, this quote is the frosting on the icing ‘The Internal Revenue Service regards the lenders’ compensation to homeowners as a cost incurred in the course of doing business. Result: It’s fully tax-deductible.We have to remember that the IRS head is an Obama appointee. US taxpayers will subsidize lenders for compensation to victims of mortgage abuses
Then there is WalMart bribery case. This smacks of the Libord scandal where a small subsidiary of a major bank was doing the illegal trading in a foreign country which allowed the parent bank to escape full punishment. Only in this case it was WalMart and it did not just happen in one place but Mexico, Brazil, China and India. WalMart officials were informed in the Mexican case multiple times since 2005. Makes ya wonder if not only the bribes but the subsequent fines will be tax deductible.Lawmakers release documents on Wal-Mart bribery