> In June, Garda reported paying him a $2 million bonus in acknowledgement of how well he ran the company.
Uh, so they were afraid of a million dollar shortage in a vault, but had enough profits to pay bonuses to C-level execs?
Uh, so they were afraid of a million dollar shortage in a vault, but had enough profits to pay bonuses to C-level execs?
AFAIK cash bonuses aren't treated any differently than any other business expense. Paying a $1M bonus to an employee or to a client (because you lost their $1M) is the same from a tax point of view.
Payroll is many businesses' main expense.
The company doesn't pay tax on those dollars, but then the employee does.
US payroll taxes are notionally assessed half on the company and half on the employee.