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

You are correct aqtrader. And that makes the 27% new tax for the year obscene.

Quote from aqtrader:

This is true if the turnover rate is 100% per year. But the actual market average turnover rate is 270%, that is, the average holding period is 4 and half month.The tax is huge. 0.5% is 27% if your investment makes the same 5% gain by the average turnover rate for the year.
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Quote from MrPowerBallad:

I was just looking at the two previous iterations of HR 676, and they both contain the transaction tax (see section 211). Luckily, neither made it out of committee, so there's no reason to think the newest one will either.

Here are the links to the previous two:

http://www.govtrack.us/congress/bill.xpd?bill=h110-676

http://www.govtrack.us/congress/billtext.xpd?bill=h109-676
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Yeah this HR676 has been floating around for years but unfortunately it won't die. I don't think it has a shot of making it either but we must be careful.

The next step is to see how Obama plans to fund his healtcare reform initiative. Everything I've read regarding it points to using the rollback of the Bush taxcuts, etc. Let's hope they just leave us the hell alone:)

-Guru
 
Quote from aqtrader:

This is true if the turnover rate is 100% per year. But the actual market average turnover rate is 270%, that is, the average holding period is 4 and half month.The tax is huge. 0.5% is 27% if your investment makes the same 5% gain by the average turnover rate for the year.
More...

The tax is bigger than your capital if you trade with it once every trading day for 1 year.
 
After months of obscurity it looks like the trader tax issue is coming front and center as forces are joining together to put out the fire before it gets a flame
 
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