Taxes

“We will continue to increase our dividend”

JM Ashby
Written by JM Ashby

Goldman Sachs has run the numbers and found that Wells Fargo -- the same Wells Fargo that's been caught in one scandal after another in recent years -- will benefit more than any other American bank from the GOP tax bill.

I doubt anyone necessarily expects Wells Fargo would use their windfall to invest in labor and company growth but, to be clear, Wells Fargo CEO Tim Sloan says they will use their tax cuts pay dividends and buy back shares until the end of time or until the economy crashes again.

At an investor presentation earlier this month, when asked about how regulatory rollbacks might impact those plans, Wells Fargo CEO Tim Sloan said higher returns for investors were in the cards.

"Is it our goal to increase return to our shareholders and do we have an excess amount of capital? The answer to both is, yes," Sloan said. "So our expectation should be that we will continue to increase our dividend and our share buybacks next year and the year after that and the year after that."

The bank has cut employees this year at its Charlotte, North Carolina, headquarters and at a Pennsylvania call center.

I feel like I shouldn't be laughing at this, but how could I not? America is a deeply absurd country; a dark comedy directed by the Coen brothers. We are currently governed by looters who are making promises on behalf of corporation who aren't making the same promises. And everyone knows it. Republicans in Congress know they are full of shit, but they aren't willing to admit it.

Goldman Sachs also found that telecommunication companies will reap the largest benefits from the GOP bill while major manufacturers like General Electric will see virtually no benefit because they don't pay any taxes right now. Cutting taxes for a company that doesn't pay taxes obviously won't make much difference.

I expect financial institutions will be among the first companies to become fully automated in our robotic future and the GOP bill will hasten that transition.

  • muselet

    Josh Marshall calls the tax bill a heist. He has a point.

    It does not bode well for the country that such a thing can happen.

    –alopecia

  • Aynwrong

    Unreal. The most obvious con man in American history handed a bill of goods for goods that will never arrive to his marks voters who swallow it whole and those of us smart enough to know better get stuck the bill.

    Unreal.

  • GOP Congresscritters are acting like Black Friday shoppers. They’re gonna get while the gettin is good. And someone else will have to clean up the mess they leave behind.

    • Draxiar

      I worked as a “housekeeping engineer” for a big, upscale department store…that mess is a looloo. As always, the Democrats will have to clean that mess and like regular janitors, get no acknowledgement for their work.

      • Or they’ll get blamed for the mess in the first place. Rinse and repeat…..

        • Victor the Crab

          BINGO! Republicans and the Right Wing Noise Machine™ will be screaming at the top of their furry lungs that the Democrats are ruining the country and the economy the GOP destroyed themselves and must be punished swiftly and mercilessly. And the Liberally Biased Mainstream Media™ will go “yeah, sounds about right”. Thus, Republicans will be back in power to “clean up the mess” Democrats started because Republicans made a fucking whopper of a mess that was proving difficult to clean.

          Unless of course Drumph and the GOP seize control of all power by firing Mueller and declaring marshal law with them controlling everything for the foreseeable future (meaning, forever and ever, Amen).

          America is fucked beyond belief! And there’s not a goddamn thing anybody can do about it!