France is to introduce a tax on financial
services in August this year. The 0.1% Tobin Tax, as it is called,
could bring in as much as a billion Euros to the national
budget.
President Sarkozy says the new levy will help
balance the budget, create new jobs, and support economic
growth.
As part of his austerity measures President
Sarkozy has introduced a VAT increase to 21.2%.
“The world economy experience shows
that any kind of tax increase is always eventually translated on
the ultimate consumer. In case of Russian companies, those of them
who will operate within the French banking system will also have to
raise prices for their clients or consumers. The tax itself is very
little, that is why I don’t think it will affect the turnover of
capital. The amount of tax will eventually constitute a higher
inflation rate”, says Petr Kadish from IFC
Metropol
The idea of a levy imposed on the international
bank transactions was first suggested by American economist James
Tobin, hence the name. In 2009 Germany, and other EU countries,
suggested introducing the tax. The main opponent of a Europe-wide
levy is United Kingdom. British Prime Minister believes the tax
should be implemented globally or not at all, as selective
implementation would harm the work of the City of London.
http://rt.com/business/news/france-tax-transactions-073/