1) Sig, you're the best. 2) Why don't you guys realize that we have a 1 party system and both have been bought off by banks and wall street? Did you see that the people got absolutely nothing from the coronavirus, yet the market is near all-time highs? Don't worry....nothing will happen, Biden is in the back blowing a wall street guy right now, just like Trump did 15 minutes ago.
Pretty sure we tax racetracks and casinos. Heavily. They seem to still be doing just fine, at least those that aren't owned by Trump. The tax itself, given that it's not massive, isn't going to stop anything. As someone pointed out, if the tax simply added up to what commissions were a year ago we'd be back to last year's environment and we'd all be just fine. The stupidity of the idea is in doing it in anything other than a universal fashion in order to prevent everyone from just leaving your tax base and moving to different products or a different place. Since that's almost impossible to do, it's generally a dumb idea. BTW, U.S. citizens don't make billions tax free with offshore accounts, at least not legally, anywhere but Puerto Rico and the USVI. It certainly makes sense to set up your hedge fund in a tax free jurisdiction depending on the non-profit status of your LPs, but that conveys no tax benefit on you as the hedge fund GP. Any profits you make as a U.S. citizen are taxable regardless of where they're earned (except again for the Puerto Rico and USVI exceptions), so there's no tax benefit to the hedge fund managers personally to setting up offshore accounts.
Looks like NJ want to get it on this FTT action as well albeit with a different twist: https://www.napa-net.org/news-info/...oks-financial-transaction-tax-fix-budget-woes "Unlike other financial transaction tax (FTT) proposals, however, this bill takes a slightly different approach. Introduced July 9 by Assemblyman John McKeon (D-Essex), the bill (A4402) would impose a tax on high-quantity processors of financial transactions at $0.0025 per transaction." "High-quantity processors would be defined as persons or entities that process 10,000 or more financial transactions through electronic infrastructure located in New Jersey during the year. McKeon notes that there are reportedly billions of financial transactions processed daily, many of which are processed in New Jersey." Also here's a link to the bill mentioned in the zerohedge piece about the New York Stock Transfer Tax. https://www.corporatecrimereporter....r-tax-and-moving-the-computers-to-new-jersey/ In the piece it sounds like they would have no problem with New York state collecting the tax along with a seperate FTT being levied at the Federal Level. Does the passage of your bill set a precedent for a federal stock transfer tax? “I don’t know where the federal government is headed politically.” You would favor such federal legislation. “Yes. But New York needs to have its own tax. This all plays into the whole tax structure of the country. “Most of the people who trade on Wall Street aren’t from New York or the United States. It offsets that outflow of tax money that is a real problem for the state of New York. If the federal government also imposes a stock transfer tax later on, what the appropriate percentage for the states or the federal government could be addressed at that time.” The good news is that it sounds like Cuomo has been fully against the New York Stock Transfer Tax and will hopefully continue to be. I know that Biden mentioned that we probably should have a FTT in an interview with CNBC earlier this year but hopefully that's just pandering for votes. I think when it comes right down to it the FTT would have a very difficult time passing even a democrat controlled Senate. Can you imagine a New York Stock Transfer Tax and a federal FTT? Trading (and volume) would cease to exist as would the Dem's hopes for raising any revenue from said taxes. Just my opinion, -Guru
That actually is a smart approach - moving matching engines with all of the colocated infrastructure is gonna be nearly impossible and people would just have to eat the tax. It's gonna create some bizarre routing incentives too :|