As Congress Debates Tax Increase, Wall Street Strategizes

03:38

December 06, 2010

People enter the Goldman Sachs headquarters in New York. According to the New York Times, Goldman plans bonuses early and sets the standard for other banks. (AP) — People enter the Goldman Sachs headquarters in New York. According to the New York Times, Goldman plans bonuses early and often sets the standard for other banks. (AP)

If lawmakers in Washington fail to reach an agreement on extending Bush-era tax cuts, Wall Street executives would have to pay higher taxes on big bonuses next year.

According to consultants, this has large banks considering moving up bonuses to this month instead of next year to save executives an additional $40,000 to $50,000 in taxes per $1 million bonus. We speak with Louise Story of the New York Times.

New York Times: Tax fear may move bonuses earlier
Here & Now: Does Wall Street fuel the economy or drain it?

This segment aired on December 6, 2010.