Fiscal cliff bill subsidizes Wall Street

It’s hard to imagine the recently passed fiscal cliff bill in the U.S. could have anything to do with Hollywood, NASCAR and Puerto Rico’s rum industry — or a subsidy for Wall Street.

Turns out, it does.

This Washington Post report uncovers many of the lesser-known aspects of the fiscal cliff deal.

Terming them “seedy giveaways,” the report highlights some of the more “curious tax provisions” in the fiscal cliff bill and offers insight into “how messy the tax code is, and will continue to be for another year.”

For example, the cliff deal would extend the current arrangement where the U.S. transfers most of the revenue collected through the Rum Excise Tax to Puerto Rico, where it’s said to support local rum industry.

Also read:

U.S. passes fiscal cliff bill

Fiscal cliff FAQ

Carney: Fires of U.S. fiscal cliff will scorch Canada

Fiscal cliff could raise cross-border taxes

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.