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

Discussion in 'Taxes and Accounting' started by seasideheights, Jan 13, 2009.

  1. benwm

    benwm

     
    #4551     Dec 29, 2009


  2. Ahem...

    With 7 posts on the board, it's apparent you haven't seen what we've accomplished so far. Go back & read this thread.

    You'll also see the last thing done here is ignoring the tax & not speaking out against it.

    I've spent tens of thousands of dollars off the board in the fight so far. I encourage you to do the same.

    On your checklist of things to do, included should be:

    - Writing members of the HR who have the Defazio bill currently sitting in their committees & explaining to them why the tax is not good for their constituents.

    - Replying to all online articles to ensure our viewpoint is well represented.

    There's more, but you'll find that by going back in the thread.

    Welcome to the thread.
     
    #4552     Dec 30, 2009
  3. rc822

    rc822

    Wall Street to the Rescue?

    A tax on financial transactions is being considered to help pay the freight for climate change solutions.


    http://www.foxbusiness.com/story/markets/industries/finance/wall-street-save-world/




    White House spokesman Ben Labolt said the idea is a non-starter and "off the table" as a means to aid developing countries battling climate change. But just last summer, the President mentioned the potential for a transaction tax during a news conference, where he touted it as a way to raise cash to wind down too-big-to-fail companies.

    The U.S. Chamber of Commerce has stepped up to oppose the bill, saying it would hurt the middle class while pushing economic activity overseas.
    Even some environmental groups, which have advocated for a global response to climate change for years, say the tax is the wrong mechanism to fund aid. Taxing banks and investors who have little to do with the underlying problem may provide cash but does not provide a solution, said Terry Anderson, executive director of the Property and Environmental Research Center, which studies free-market solutions to environmental issues.
    A true solution to the problem, Anderson said, would be a tax on carbon emissions, the greenhouse gas at the heart of the issue."
     
    #4553     Dec 30, 2009
  4. Liger86

    Liger86

    True solution is competition not taxes. Everyone knows that.
     
    #4554     Dec 30, 2009

  5. The last 10% of the above article mentions the negatives to make it "fair and balanced".

    --------------------------------




    The future of London:


    Down, Not Out, in London
    http://www.newsweek.com/id/225617
     
    #4555     Dec 30, 2009
  6. Vienna

    Vienna

    Guys, maybe I am missing something: the tax proposed for futures is 0.02%, not 0.25%, correct?

    That means 1 ES contract would cost 1120X$50*0.02%= $11.20 per transaction, or $22.40 per RT. This, while high, is not as catastrophic as the example given above...it would mean losing 2 ticks per trade. Right?

    :confused:
     
    #4556     Dec 30, 2009
  7. wrong i believe each futures contract is 40,000 of worth or something. maybe somebody can clarify it
     
    #4557     Dec 30, 2009
  8. Vienna

    Vienna

    Yes 1 ES nominal value is 1120 (as of now)x $50 (point value)=$56,000.00

    0.02% of that is $11.20 (per transaction)
     
    #4558     Dec 30, 2009
  9. gkishot

    gkishot

    Is 0.02% tax not as catastrophic as 0.25% tax? Yes.
    Does it have to be like this? No.
     
    #4559     Dec 30, 2009
  10. sprstpd

    sprstpd

    You can't think about it like this. First of all, the tax on stocks is ludicrously high compared to futures. Second of all, who says that once this tax is instituted that they won't raise the rates on a whim (including futures)? Your kind of thinking will only allow them to gain a foothold and then take your livelihood from you forcefully.
     
    #4560     Dec 30, 2009