Registered: Oct 2007
01-13-09 08:45 PM
Here is a little more info:
The Bush administration's proposed tax on futures trading:
...which was proposed at 7 cents per transaction, or 14 cents each time a futures contract is bought and then sold.
(The FY2007 budget does not specify any particular fee amount or rate, but simply
notes that the proposed fee would cover the cost of the CFTCs regulatory activities.
Assuming that this means the entire CFTC budget, and that a uniform fee is to be imposed
on each futures and options contract traded on U.S. futures exchanges, a fee of 5.1’ per
contract would be required to cover the CFTCs FY2006 budget, or a fee of 6.7’ to cover
the proposed increase to $127 million. (This calculation is based on trading volumes
reported by the CFTC for fiscal 2005: 1.554 billion futures contracts and 353 million
U.S. House Speaker Nancy Pelosi, speaking to reporters after a meeting with fellow Democrats, said the fee could be assessed after five years if the non-partisan Congressional Budget Office determined taxpayers had lost money in the bailout.
Pelosi said that the Secretary of the Treasury could determine how to assess the fee.
No hurry no worry, there will be plenty of time for them to learn how damaging it is if it was 0.25%.