The European countries want to tax the banks
Barely buried by the G20 already risen by the European Union? The leaders of the 27 would have agreed on the principle of a tax on banks, according to AFP. Agence France-Presse has procured the draft final agreement from the summit of Heads of State of the EU on June 17.
The text states that "the European Council agrees that a tax on financial institutions to be introduced to ensure that they contribute to pay the price crisis." The implementation would occur in "October 2010", according to the document approved by the ambassadors of member countries in Brussels.
The EU, supported by the Franco-German agreement on the subject, then move only hear about this proposed tax. The G20 had indeed rejected the draft on June 5 last, at the request of Japan, Canada and emerging economies, including Brazil.The topic will be placed on the mat during the next World Summit in Toronto in late June, at the initiative of the Europeans.
"The debate is over"
If the 27 Member States seem to agree on the principle of bank charges, how applications are still a problem. Finance ministers should floor on the issue to ensure "equal treatment" between banks to prevent the European institutions are not penalized compared to their foreign competitors.
EU leaders also wonder on what basis will apply the tax, ie the profits or assets of banks, for example. The biggest uncertainty also use it will be made of revenues generated. "The debate is really over," admitted one European diplomat.
The European Commission wants a fund of insurance of the financial sector, and giving assistance to banks in case of major difficulties. Paris and Berlin for their part, prefer that the money collected feed budgets. "Of what use to mobilize billions of euros in an insurance fund for money to sleep?" Asks a diplomat.
Finally, a country like Luxembourg, a leading financial center, particularly for investment funds, would prefer to introduce a tax on financial transactions in the most speculative.
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