Forums - Heads up - French ADR tax Aug 1

HOME FORUMS BROKERS SOFTWARE BOOKS CONTACT US

Your Account • Become a Member • Help • Search

	Forums ›› Direct-Access Brokers ›› Prop Firms ›› Heads up - French ADR tax Aug 1

Page 1 of 5: 1 2 3 4 5

Don Bright
Bright Trading, LLC

Registered: Oct 2001
Posts: 11698

07-26-12 04:20 PM

Just a heads up to you guys, that I received a call from the higher ups at Goldman this morning to tell us about the French "transaction tax" takes effect on trade date August 1st. This is a 20 BPS tax that will be withheld on the buy amount.

For example, we have a trader who is up $5,000 trading TOT this year, but his transaction tax would have been $12,000. Eliminates this edge. Bummer.

FYI,

Don

__________________
Don Bright (not an alias)
Bright Trading, LLC
http://www.stocktrading.com

Edit/Delete • Quote • Complain

mike212

Registered: Jan 2002
Posts: 23

07-26-12 05:44 PM

Is it confirmed that ADRs will be affected? I see mixed information on that. Also note I have read that only net positions at end of day will be taxed, so buy 1000, sell 1000 in the same day avoids the tax (from what I've read).

Edit/Delete • Quote • Complain

Don Bright
Bright Trading, LLC

Registered: Oct 2001
Posts: 11698

07-26-12 05:50 PM

Quote from mike212:

Is it confirmed that ADRs will be affected? I see mixed information on that. Also note I have read that only net positions at end of day will be taxed, so buy 1000, sell 1000 in the same day avoids the tax (from what I've read).

According to Goldman, they will be withholding on all French ADR's, starting on trade date August 1st. 20BPS on cost of buy order. $44 (TOT) x 1,000 = $88 in transaction tax, for example. As always, check with your broker/dealer.

List: http://topforeignstocks.com/foreign...of-french-adrs/

(For informational purposes only, not the product of Bright Trading or any of it's affiliates).

Don

__________________
Don Bright (not an alias)
Bright Trading, LLC
http://www.stocktrading.com

Edit/Delete • Quote • Complain

ChkitOut

Registered: Dec 2005
Posts: 2927

07-26-12 05:56 PM

So whats going to happen to the volume on these ADR's?

Edit/Delete • Quote • Complain

trillenium

Registered: Aug 2003
Posts: 195

07-26-12 06:19 PM

what about CAC Futures ?

Edit/Delete • Quote • Complain

atrocious

Registered: Mar 2010
Posts: 164

07-26-12 06:26 PM

Quote from trillenium:

what about CAC Futures ?

I heard the tax is only assessed if you have long CAC

Edit/Delete • Quote • Complain

Page 1 of 5: 1 2 3 4 5

Receive an email whenever a new post is added to this thread by subscribing to it.

Rate This Thread:

Forum Jump:

Conduct Rules - Privacy Policy - Day Trader - Day Trader Forum - Best Trading Software - Sitemap

WHILE YOU'RE HERE, TAKE A MINUTE TO VISIT SOME OF OUR SPONSORS:
Advantage Futures Futures Brokerage & Clearing AMP Global Clearing Futures and FX Trading Bright Trading Professional Equities Trading CTS Futures Trading Software DaytradingBias.com Professional Trading Analytics ECHOtrade Professional Trading Firm	eSignal Trading Software Provider FXCM Forex Trading Services Global Futures Futures, Options & FX Trading Interactive Brokers Pro Gateway to World Markets JC Trading Group Direct Access Trading MB Trading Direct Access Trading	MultiCharts Trading Software Provider NinjaTrader Trading Software Provider OANDA Currency Trading optionshouse Option Trading & Education Rithmic Futures Trade Execution Platform SpeedTrader Direct Access Trading	SpreadProfessor Spread Trading Instruction thinkorswim by TD Ameritrade Direct Access Trading TradersStudio System Building & Backtesting Trading Technologies Trading Software Provider Trend Following Trading Systems Provider