Another crock of crap


The IRS yesterday announced new "rules" which will allow victims of Ponzi schemes to immediately deduct nearly all of their losses this year.

They didn't say it was for Madoff victims, though that's pretty clear.

So basically, if you had tons of money but were exceptionally stupid/greedy/and foolish . . . you get a tax break. But if you only lost half your kid's college fund or retirement because the index fund in your 519 or 401k went down, you're shit out luck and have to play by the rules.

WTF?

Oh wait, the people who were screwed by Madoff weren't just stupid/greedy/and foolish -- they were also a hell of a lot richer than the middle class people who are depending on 401ks and the like to fund their retirement.

And forget about working stiffs who are lucky if their retirement plans include a few lottery tickets.

I'm not saying that victims of Madoff - and every other ripoff - don't deserve sympathy. And yes, I realize that the tax breaks will in no way compensate for the real loss of the money.

What I am saying is that changing the rules for them is just one more sign of the vast inequality that is the real heart of what's killing this country.

Two questions:

1) What right does the IRS - as opposed to congress - have to change the regulations?

2) Where's the "change"?