Global

Details

  • Service: Tax, International Corporate Tax, Global Compliance Management Services
  • Type: Regulatory update
  • Date: 2/14/2013

EU - Proposed draft Directive on financial transaction tax 

February 14:   The European Commission today announced a proposed Directive for implementing the financial transaction tax (FTT) under the EU’s enhanced cooperation procedure.

As requested by the 11 EU Member States that would proceed with the FTT, the proposed Directive follows the scope and objectives of the original FTT proposal put forward by the European Commission in September 2011.


Under the proposed Directive, all transactions having an established link to the FTT-zone would be subject to the FTT at rates of 0.1% for shares and bonds and 0.01% for derivatives.


Read a February 2013 report [PDF 55 KB] prepared by KPMG’s EU Tax Centre:
Commission issues proposal for an EU FTT under enhanced cooperation

What’s next?

According to today’s EC release, the proposed Directive will now be discussed by the EU Member States, with a view to its implementation under the enhanced cooperation procedure.


All 27 EU Member States may participate in the discussions on this proposal. However, only the EU Member States participating in enhanced cooperation will have a vote, and they must agree unanimously before the FTT measures can be implemented. The European Parliament will also be consulted.


Read a February 2013 report prepared by the KPMG member firm in the Netherlands: European Commission issues new proposal for a Financial Transaction Tax




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