Remember Those $128 Million Bonuses Deutsche And UBS Paid 12 Years Back? Turns Out They WERE Supposed To Pay Taxes On Them

Apparently that was unclear.

And the money is likely coming out of your paychecks. Those bills for decades-old tax avoidance don't pay for themselves!

Deutsche Bank AG and UBS Group AG must pay taxes on two banker bonuses plans, the U.K. Supreme Court ruled, saying the firms exploited loopholes to avoid payments in a decision that will affect a number of similar arrangements. The 12-year-old dispute involved taxes on two 90 million-pound ($128 million) employee bonus plans set up in 2003 to reduce liabilities on some bonuses the following year. The British tax collection agency, Her Majesty’s Revenue & Customs, later found the plans amounted to tax avoidance and asked UBS and Deutsche Bank to pay about 50 million pounds each. Supreme Court Judge Jonathan Mance said the schemes were “commercially irrelevant” and had no purpose other than to escape taxes, which is not what lawmakers intended when they created the rules.

UBS, Deutsche Bank Escaped Bonus Taxes Like Houdini, Judges Say [Bloomberg]


Deutsche Bank Is Sorry It Violated U.S. Sanctions Laws 27,000 Times

Although, DB would like to just point out that it hasn't even talked to Iran, Libya, Syria etc. in, like, years.

Deutsche Bank Paid Another Fine But It Was Only $55 Million

Which, relatively speaking, is basically like not paying a fine at all.

Clawbacks Watch '12: Deutsche Bank

Those shares DB awarded you to make up for the ones you were leaving with your old employer? They're going to need those back. Deutsche Bank has become the first global bank to introduce rules allowing it to strip staff of bonuses they earned at previous employers in the latest crackdown on pay. The largest European lender by assets has significantly tightened its bonus rules this year, enabling it to take back unvested shares that newly hired senior staff received in exchange for stock earned at another bank. The German banks’ stricter bonus rules, which came into force in January, apply to all new senior hires considered to be involved in the bank’s risk-taking, a spokesman said. These more than 1,300 “regulated employees“ include managing directors in the corporate and investment bank and members of the management committees of all other units. One recruitment expert warned the rule could make it harder for Deutsche Bank to attract senior talent as the potential job candidates might not be willing to put at risk stock earned at a previous bank. Deutsche Bank Turns Screws On Bonuses [FT]