Overview

The European Commission has published recommendations for
the introduction of a worldwide tax on financial transactions and a Europe-wide tax on the profits and remuneration arrangements of companies operating in the financial sector.

The proposals are due to be presented to the ECOFIN Council on 19 October and will then be discussed at the next meeting of the European Council in Brussels on 28-29 October, with the agreed position to be presented at
the next G20 Summit in Seoul in November as part of an attempt to agree a global approach to the subject.

Although the proposals currently lack detail, it seems clear that there is a growing political impetus for the introduction of some form of new tax on the financial sector. Macfarlanes explains.