The majority of the $13 billion settlement JPMorgan struck with the government -IS- Tax Deductible??

WTF?! Chase CFO brags on conference call that $7B of its $13B fine will be tax deductible.

during a conference call on Tuesday, Marianne Lake, JPMorgan’s chief financial officer, emphasized that $7 billion of the settlement was tax-deductible. A person briefed on the case said the decision whether to credit the payments ultimately rested with the I.R.S., though public interest groups remained concerned.
In contrast, lawyers for big banks have questioned whether the Justice Department is crossing a line. The fines, they complain, are arbitrary figures meant as a kind of catharsis for the public.
Source: http://nyti.ms/1df46Oc