Accountants back global Robin Hood Tax
Last week, trade web journal GFSnews revealed that even the London-based Association of Chartered Certified Accountants (ACCA) had backed a Robin Hood Tax to control market volatility – although they would prefer a global deal to a solely European tax, and clearly favour a carefully designed implementation. Chas Roy-Chowdhury, head of taxation at the ACCA, agreed that Financial Transaction Taxes could help mollify volatility in the markets and discourage speculation.
“Despite its controversial nature the FTT could potentially function as a deterrent against short-term speculation and give countries a certain degree of protection against exchange rate pressures. It is nevertheless vital to make sure that EU countries can preserve the credibility of their currencies and their economies and that the FTT does not lead to a reduction of share prices and poor liquidity, or potential erratic movements in equity and foreign exchange markets.”