Wall Street

In twist, Wall Street fights tax backed by GOP lawmaker: WSJ

Getty Images

Wall Street is mobilizing against a threat from an unlikely source: a bank tax championed by a Republican lawmaker, The Wall Street Journal reported on Tuesday.

The Journal reported that a clutch of big banks— including Bank of America, Goldman Sachs, Citigroup and JPMorgan Chase—are organizing to beat back a proposed bill that would tax the largest U.S. financial firms. The plan is being spearheaded by Rep. Dave Camp, a Michigan Republican, and is opposed by other GOP members, the report said.

Out of ire over the bill, Goldman Sachs went as far as to cancel a planned fundraiser for the National Republican Congressional Committee, the report said, citing an unnamed source. However, Goldman still contributes to both Democrats and Republicans through its political action committee.

The report added that behind the scenes, banks are pressuring wavering lawmakers to speak out against the bill, which would tax Wall Street for the lower borrowing costs it enjoys as part of an implicit 'too big to fail' backstop.

For more information on this story, please click here.