„No reason to delay the FTT“ say S&D Euro MPs

S&D Euro MPs today urged EU countries to stick to the plan to introduce a financial transaction tax (FTT), despite legal objections.

S&D Group leader Hannes Swoboda and European Parliament’s negotiator Anni Podimata today in Strasbourg said: „Member states should not delay the implementation of the tax any further.

„They promised European citizens a real FTT and they will be held accountable if they do not deliver.

„The Council’s legal opinion is not a new element in the FTT debate. The diverging legal opinions are well known, as is the UK’s challenge to the tax at the European Court of Justice.

„It is also well known that the ‚residence principle‘ is not a new invention – it already applies in other sectors such as income tax and VAT.

„To be efficient and successful, the FTT must maintain its double dividend – ensuring the financial sector is fairly taxed and discouraging the most speculative transactions. Combining the residence, issuance and ownership principles will prevent tax evasion and reduce the risk of relocation.

„Lowering the ambition of a financial transaction tax would be the wrong signal to send to EU citizens who are still paying far too high a price for the financial crisis.“