1/4% Tax on all stock trades pushed in NY Times today

it is a never ending battle.

http://www.nytimes.com/reuters/2011...urozone-germany-schaeuble.html?_r=1&src=busln

Schaeuble Vows to Push for Financial Transaction Tax
By REUTERS
Published: December 25, 2011 at 9:06 AM ET

Sign In to E-Mail
Print

BERLIN (Reuters) - German Finance Minister Wolfgang Schaeuble vowed in an interview published on Sunday to push ahead for a financial transaction tax in the European Union in 2012 despite objections from Britain that it could harm London as a global financial centre.
 
http://www.nytimes.com/2012/01/03/world/europe/future-in-mind-europeans-plan-for-less-unanimity.html

As European Union Expands, Unanimity Breaks Down - NYTimes.com

Happy New Year. Just back from vacation.

This article lays out the EU-proscribed plan to counter a veto for unanimous consent, specifically for the FTT. First generate a veto, and next push for passage in all 27 EU member nations. After failure, the EU treaty-built-in mechanism is to try and pass the proposal in 9 or more EU members, and hope it snowballs with extraterritorial reach.

Unanimous consent among 27 members is close to impossible, so they need to test this 9 or more governing mechanism sooner than later - like now - and they seem ready to try it on FTT.

Even amendments to the U.S. constitution only requires 85% of state voting - not unanimous consent - from my recollection. The EU-governing process is as much in crisis as the underlying problems, so they will push to get this working soon. I don't see how they will stop this attempt at this point. If not FTT, then what else?

They probably have the 9 or more vote count already for FTT, and knew it when they forced the expected UK veto.

Sorry to be negative, especially after a nice relaxing vacation in Hawaii. Aloha. I'll catch up on the news more soon and hopefully find more optimistic ground.

Germany and France can adopt FTT on their own but that misses the point. They are trying to force EU tax integration and coordination with federal policy, rather than diverging member nation policies. Let's hope they can't get the 9 or more on FTT.
 
Quote from Robert A. Green:

Let's hope they can't get the 9 or more on FTT.
More...

There are 11 countries against the FTT at last count. I expect they will easily get the remaining 16 to say yes.

This was inevitable. Merkel/Sarkozy/Barroso made it clear long ago they were going to find a way to institute the FTT, with or without the UK.
 
Quote from tomdavis:

There are 11 countries against the FTT at last count. I expect that they will easily get the remaining 16 to say yes.

I think this was the inevitable outcome.
More...

They can easily get the numbers.

But it will be Germany and France plus 10 or so minion countries.

I still dont think the Germans and French have the balls to do it when none of the US,UK,Asians markets centers are doing it. But we can never rule out the stupidity of the socialists in europe.
 
I still want to see how they will try to penalize the UK for staying out. I understand they can make the UK institutions pay if they make a deal with an european counterpart on bund or CAC40 but there is no way they can make foreigners pay if they inadvertantly trade with a french bank on Euribor or any other UK product... It is totally illogical and I am sure there are some principles of international law or even european law against this.

It would at least require the foreign exchanges to display european sizes in order books and it won't happen...And if it happens, european institutions would be instant parias and nobody would trade with them.

Whatever they come up with, the enforcement of the FTT will be incredibly complicated and a new outrageous source of government spending. Residence principle = "give me your account statements of the year, I calculate what you are supposed to pay, I just followed a 3 day bootcamp on notional value"... Give me a break.
 
The German government is a coalition between CDU (Merkel) and FDP (pro business). The chairman of the FDP, Philipp Rösler, is also the German Federal Minister of Economics and Technology, and the Vice Chancellor of Germany. Rösler has always been against an EZ-FTT (without UK), and apparently he has said he will block it. Does anyone know his current point of view, and if he is really determined or able to effectively block such a FTT in Germany, when it's necessary?
 
Quote from TraDaToR:

http://www.timesofmalta.com/article...-transaction-tax-by-end-of-2012-france.400996
More...

Couple of interesting points from the above article:

A European financial transaction tax will be in place by the end of year, French minister for European affairs Jean Leonetti said today, apparently moving up the programme.

Leonetti said on LCI television today: "This is on the programme for the next European summit (on January 30). (French President) Nicolas Sarkozy and (German Chancellor) Angela Merkel have decided on this and it will be put in place before the end of 2012.

Leonetti said Germany and France were already in agreement on the tax and that Italy was not opposed to it. He said that of the 27 members of the European Union, only Britain and Sweden were opposed to the idea.


So now their saying it's going to be implemented by the end of 2012 and that of the 27 EU member nations only Britain and Sweden are opposed? I call bs on this... This sounds so arrogant saying that Sarkozy and Merkel have decided on this therefore it's going to be put into place.

-Guru
 
You must log in or register to reply here.
Back
Top