Robin Hood Tax (Taxing the banks).

Yep an Financial Transaction Tax of just a tenth of a percent on ALL Financial Transactions would net more per day than GST.

I would propose dropping the poor tax (GST) and replace it with an FTT of 0.01%

So the FTT would only be put onto the banks or all transactions made?

Totally support. It was suggested by another party in NZ some years ago, but the idea had not gained credibility then. Now it has, and needs to be acted on.

I see this as worse than GST.
Evertime I use my eftpos I will be taxed.
Whether I use my minimum wage for consumption or savings I will be taxed.
Businesses can easily avoid most FTT if its not done unilaterally with our trade partners. They can't skip GST.
This is most definitely not a tax on Banks like the title suggests. Its a tax on bank users, and the bank is the tax collector.
I totally agree with taxing banks. Eg tax the bank on movement shifts. The banks will just pass this on to mortgage payers, and house prices will drop.

@heathblyde I'd whack it on all FT's. At a tenth of a percent it is tiny enough not to adversely impact the less fortunate of us.

Cutting GST is the FASTEST way to help the less fortunate. It gives an instant 15% price reduction of everything, and thats got to be good.

@colindavies As @wadevuglar said; Its such a small amount that it wouldn't be noticeable, and the bank doesn't get any of the money from this tax.
Btw, wade has brought forward and idea, this is the purpose of a discussion, to share ideas.

@wadevuglar

Cutting GST is the FASTEST way to help the less fortunate. It gives an instant 15% price reduction of everything, and thats got to be good.

I think its more like a direct 13.04% if you try a base calculation, without taking into account the cascade effects of GST which are quite large.

@heathblyde

and the bank doesn’t get any of the money from this tax.

I certainly never suggested it did.

The bank is the collector of the tax. And its not a tx on banks.

Its such a small amount that it wouldn’t be noticeable

It might not appear as much on an individuals bank statement. But it wouldn't be suggested if it could replace GST. So logic suggests it must have an effect.

True GST is a regressive tax but it is efficient and it is fair in comparison to FTT.

If FTT was isolated to shareTransactions, Currency dealings and property deals it would effect the poor like me less. However the players would soon discover ways to skip it.

I agree with this. Taxation should be about incentivising desirable behaviour, working,providing employment, producing and benefitting the community. Disincentivising undesirable behaviour, being a parasite, clipping the ticket of productive enterprises, usury and maybe some stuff I have not thought of. A Robin Hood tax is a big step towards a better society.

So from what I can gather, @iankiddle and @colindavies you both think that the initial idea of the Robin Hood tax is the better idea? (and that the FTT tax isn't in the best interests of New Zealand)