NYSE and Nasdaq threaten to leave New Jersey if transaction tax goes ahead
In New Jersey the governor shut down everything. Then tax revenues plummeted. Then government payrolls felt a hit. Then the governor decided that raising taxes of various kinds during the lockdown was “needed.”
The problem is: Who will be left to pay taxes?
(From Data Center Dynamics)
“We understand why a financial transaction tax, or FTT as it’s commonly known, may be perceived as a silver bullet that can remedy or offset financial hardship with little effect on the financial markets themselves, impacting perhaps only big corporations or wealthy individuals. In reality, this tax would be imposed on a processor of transactions but would be passed along to a purchaser or seller.
“That said, these harms will never come to pass,” she added, “because those with obligations to their investor clients will simply move their business out of New Jersey to avoid harm, leaving no transactions in New Jersey to tax and undermining the revenue-generating aim of an FTT.”
This article was originally posted here: https://www.ac2news.com/2020/10/nyse-and-nasdaq-threaten-to-leave-new-jersey-if-transaction-tax-goes-ahead/.
