"Punitive taxes" refer to high taxes that are imposed on specific individuals or businesses as a form of punishment or discouragement for certain actions or behavior. Full definition
Bonds face the most punitive tax rates, but with interest rates where they are, they are currently more about capital preservation than income generation. (canadiancapitalist.com)
That version has been designed to appeal to Chinese buyers looking to avoid punitive taxes. (autoweek.com)
For example, why is there a cap on what you can put into a pension AND a cap on the maximum fund size you can have without punitive tax consequences? (lawyer-monthly.com)