1/4% Tax on all stock trades pushed in NY Times today
- Thread starter seasideheights
- Start date
A rare article explaining why a trans tax won't work.
Here's another:
http://seekingalpha.com/article/114...reduce-liquidity-on-u-s-markets-terrible-idea [/QUOTE]
and still another--
Then there is the simple matter of whether it's a good idea or not to drain additional resources from the private sector. A transaction levy often is billed as being a "small tax." But in terms of its overall impact, it would be anything but small. Are we seriously supposed to think that taking another $150 billion annually from private investment and handing those resources over to politicians and government bureaucrats will be positive for economic growth and job creation?
For good measure, a financial transaction tax is dangerous in a stealthy kind of way. It's hidden nature and seemingly small take on each transaction makes for a powerful revenue raiser for government, and a levy that would be relatively easy to increase.
http://findarticles.com/p/articles/mi_qn4189/is_20091028/ai_n39380963/
Here's another:
http://seekingalpha.com/article/114...reduce-liquidity-on-u-s-markets-terrible-idea [/QUOTE]
and still another--
Then there is the simple matter of whether it's a good idea or not to drain additional resources from the private sector. A transaction levy often is billed as being a "small tax." But in terms of its overall impact, it would be anything but small. Are we seriously supposed to think that taking another $150 billion annually from private investment and handing those resources over to politicians and government bureaucrats will be positive for economic growth and job creation?
For good measure, a financial transaction tax is dangerous in a stealthy kind of way. It's hidden nature and seemingly small take on each transaction makes for a powerful revenue raiser for government, and a levy that would be relatively easy to increase.
http://findarticles.com/p/articles/mi_qn4189/is_20091028/ai_n39380963/
Nice article from Robert Green from Green Tax company a respected player in the trading and accounting industry.
10:40 pm November 9, 2009
Robert A. Green, CPA wrote:
.November 9, 2009
Financial-transaction tax is dead on arrival globally, which is good news locally
Many thanks are owed to U.S. Treasury Secretary Tim Geithner. At the G20âs summit in Scotland over the weekend, he personally fought off the left-leaning powers that be â UK Prime Minister Gordon Brown and French Finance Minister Christine Lagarde â who support this dreaded tax. The Brits got caught up in local politics. The left in the UK is on its way out and used this tax as a populist rant on banks and to demonize Tories and their constituents. (Click here for more.)
The G20 is embarking on cooperation and coordination, thanks to the election of President Obama promising global consensus. None of the major G20 money-center powers (New York/Chicago, London, Paris, Germany, Russia, Nordic region, India, Singapore, Hong Kong, Shanghai, and Tokyo) will enact a transaction-tax if the other countries arenât following suit. Most leaders from these areas are against this tax; no one can afford to lose financial business during this precarious recovery.
However, some leaders do support a tax of this nature. Last month, Brazilâs government passed a 2-percent tax on foreign purchases of equities and fixed-income securities. Perhaps Brazilâs strong industrial and commodity economy will support experimentation with this tax, but the Brazilian government may change its mind after the effects of the tax set in.
The G20 is trying to make progress in the area of financial reform so it can move on to climate change before the end of 2009. There is little time to make agreements and then back track. It decided to wait for final word from the IMF, and the IMF confirmed it doesnât support a financial transaction tax. Hence, itâs dead on arrival in my book. As I discussed in earlier articles, Europeâs left-wing politicians are losing to the right; recent statements regarding this tax were part of their last gasp efforts.
U.S. Treasury Secretary Geithner played his cards very well. He deferred to his old employer, the IMF â the global financial overseer â and he knew the IMF shared his views on using a more narrow approach, such as a bank bailout fund insurance plan. Secretary Geithner didnât have to say no to this tax in order to defend U.S. financial markets, and he didnât have to subside his own partyâs (and the Presidentâs) populist rants against Wall Street. As I have predicted, the Democrats will rail against Wall Street, but they will not kill the U.S. golden goose â our financial markets and industries. Hopefully, this may be a turning point from populist campaign rants toward productive policies that are fair and balanced. In my opinion, President Obama is looking smarter for selecting Tim Geithner as his Treasury Secretary, based on Geithnerâs good experience with the IMF - the brains of the G20 going forward.
Yes, left-wing fringe elements and progressives in the U.S. Democratic party will still try to raise transaction-tax revenue proposals to âpay goâ for new spending plans such as transportation, health care, and more. But, I continue to believe that leadership will keep shooting down this shotgun âkill-many-tradersâ tax, as they have been doing to Rep. Peter DeFazio, D-Ore., and other similar plans. The left-wing progressives just donât get it. They want to spend their way to recovery and fund the efforts by taxing small-business job creators. That shows their poor economic training.
10:40 pm November 9, 2009
Robert A. Green, CPA wrote:
.November 9, 2009
Financial-transaction tax is dead on arrival globally, which is good news locally
Many thanks are owed to U.S. Treasury Secretary Tim Geithner. At the G20âs summit in Scotland over the weekend, he personally fought off the left-leaning powers that be â UK Prime Minister Gordon Brown and French Finance Minister Christine Lagarde â who support this dreaded tax. The Brits got caught up in local politics. The left in the UK is on its way out and used this tax as a populist rant on banks and to demonize Tories and their constituents. (Click here for more.)
The G20 is embarking on cooperation and coordination, thanks to the election of President Obama promising global consensus. None of the major G20 money-center powers (New York/Chicago, London, Paris, Germany, Russia, Nordic region, India, Singapore, Hong Kong, Shanghai, and Tokyo) will enact a transaction-tax if the other countries arenât following suit. Most leaders from these areas are against this tax; no one can afford to lose financial business during this precarious recovery.
However, some leaders do support a tax of this nature. Last month, Brazilâs government passed a 2-percent tax on foreign purchases of equities and fixed-income securities. Perhaps Brazilâs strong industrial and commodity economy will support experimentation with this tax, but the Brazilian government may change its mind after the effects of the tax set in.
The G20 is trying to make progress in the area of financial reform so it can move on to climate change before the end of 2009. There is little time to make agreements and then back track. It decided to wait for final word from the IMF, and the IMF confirmed it doesnât support a financial transaction tax. Hence, itâs dead on arrival in my book. As I discussed in earlier articles, Europeâs left-wing politicians are losing to the right; recent statements regarding this tax were part of their last gasp efforts.
U.S. Treasury Secretary Geithner played his cards very well. He deferred to his old employer, the IMF â the global financial overseer â and he knew the IMF shared his views on using a more narrow approach, such as a bank bailout fund insurance plan. Secretary Geithner didnât have to say no to this tax in order to defend U.S. financial markets, and he didnât have to subside his own partyâs (and the Presidentâs) populist rants against Wall Street. As I have predicted, the Democrats will rail against Wall Street, but they will not kill the U.S. golden goose â our financial markets and industries. Hopefully, this may be a turning point from populist campaign rants toward productive policies that are fair and balanced. In my opinion, President Obama is looking smarter for selecting Tim Geithner as his Treasury Secretary, based on Geithnerâs good experience with the IMF - the brains of the G20 going forward.
Yes, left-wing fringe elements and progressives in the U.S. Democratic party will still try to raise transaction-tax revenue proposals to âpay goâ for new spending plans such as transportation, health care, and more. But, I continue to believe that leadership will keep shooting down this shotgun âkill-many-tradersâ tax, as they have been doing to Rep. Peter DeFazio, D-Ore., and other similar plans. The left-wing progressives just donât get it. They want to spend their way to recovery and fund the efforts by taxing small-business job creators. That shows their poor economic training.
This thread becomes loud when it should be silent.
The main threat we were facing was an implementation on an international scale. Now it's over...
Don't get emotional because of a bitch in a TV show.
The poster saying we have now to watch what is happening with HFT is right. Don't know what they intend to do but it's better keeping an eye on it.
The main threat we were facing was an implementation on an international scale. Now it's over...
Don't get emotional because of a bitch in a TV show.
The poster saying we have now to watch what is happening with HFT is right. Don't know what they intend to do but it's better keeping an eye on it.
http://www.cityam.com/news-and-analysis/gfgvl8v5hc.html
Quote from the soon-to-be UK Prime minister
"TORY leader David Cameron yesterday threw his weight behind the City as he hit out at government proposals for a Tobin tax on global financial transactions, saying it was a âbad ideaâ.
And the Tory leader spoke candidly about his familyâs background in the City, assuring the audience that the financial services industry was close to his heart.
He said: âMy father was a stockbroker, my grandfather was a stockbroker â so when my father looks at my career choice, he is full of complete bafflement that I didnât follow in his foot steps.â
Quote from the soon-to-be UK Prime minister
"TORY leader David Cameron yesterday threw his weight behind the City as he hit out at government proposals for a Tobin tax on global financial transactions, saying it was a âbad ideaâ.
And the Tory leader spoke candidly about his familyâs background in the City, assuring the audience that the financial services industry was close to his heart.
He said: âMy father was a stockbroker, my grandfather was a stockbroker â so when my father looks at my career choice, he is full of complete bafflement that I didnât follow in his foot steps.â
High Frequency already means consequences on anything held less than one year: short term capital gains, and PDT.
and still another--
Then there is the simple matter of whether it's a good idea or not to drain additional resources from the private sector. A transaction levy often is billed as being a "small tax." But in terms of its overall impact, it would be anything but small. Are we seriously supposed to think that taking another $150 billion annually from private investment and handing those resources over to politicians and government bureaucrats will be positive for economic growth and job creation?
For good measure, a financial transaction tax is dangerous in a stealthy kind of way. It's hidden nature and seemingly small take on each transaction makes for a powerful revenue raiser for government, and a levy that would be relatively easy to increase.
http://findarticles.com/p/articles/mi_qn4189/is_20091028/ai_n39380963/ [/QUOTE]
your last sentence is exactly why it will pass.