WSJ today: Democrats Weigh Tax on Financial Transactions
- Thread starter jammy page
- Start date
But I think there are many valid points here being made as to why we shouldn't; many of which other people have yet to learn, so these posts serve a great purpose.Fantastic. Start your own thread about it or troll elsewhere. Such discussion is not the purpose of this thread. Ignore on.
Currently I net 4 pts on the YM per typical trade, that's $20 gain per trade.. if the tax was a buck a contract I'm still in the game and Goldman would have to go back to swindling old ladies...
The thing is that these legislators think they would get revenue from these taxes but they actually would kill off revenue because they would kill off the volume... it's actually been done before by the brits and it killed off volume... but nowadays, just because it doesn't work doesn't mean it's not a good idea... I saw Obama asked about his tax increases before the election and he admitted that tax increases hurt the economy but his voters are more about class warfare !
What is Wall Street but "financial transaction". If each investment transaction is to be taxed, then we should also tax every check, credit/debit card use, online bill paying, use of cash, mortgage loan, auto loan, small business loan, use of line of credit.
In fact, why don't we have a tax on every piece of paper or equivalent?
Oops, forgot... last time they tried that it lead to a Revolutionary War.
What we need is LESS GOVERNMENT.. not more taxes.
You have NO clue! The tax would be on the nominal value of the contract, not on the profit you might make from it. Oh, and you would pay the tax whether you made a profit or not on the trade. I don't trade the YM, but for example 1 ES contract is roughly equivalent to 500 SPY, which in turn give you a nominal value of about $53,500. Now, take .05% of $53,500, that's $26.75. Oh, and that's $26.75 for your buy and $26.75 for your sell. So, you now need to make 1.25 pts. just to break even with the tax and the commish.
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1000% Correct....
For some stocks it would cost 10% or more just to transact it....
Seeing how 5% per year is significant....etc...
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After all this struggle to get the bid ask tight.....it is incredible that the polys would block out all chances of their constituency having a shot in stocks....
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What makes the market work are lots and lots of small players.....not a handful of large `players....
I see a future whereby the technology to date will look highly inefficient compared to what is to come....
The Chinese are going to embrace efficiency and would castrate those who brought on inefficiencies....
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I see full de-fragmentation....and fully electronic direct access that will totally replace what remains of MM´s and S´s....
I also see fully electronic regulation....money movement does not lie.....
The US govt. should eliminate any form of taxes on securities ....and embrace seamless de-fragmentation....and more efficiency....
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The US is going backwards at the moment.....The Harvard Queens cannot add or subtract....
FUCKING IDIOTS !!!!!!!!!!!!!!!!!!!!!
If such a spread developed and the volume dropped way off on many stocks, wouldn't the companies so affected start scream, "this tax is killing our stock"...
Apparently the politicos are so short sighted they don't realize that if they keep taking a bite out of the goose it will die... then nobody will have any golden eggs.