Thursday, 10 March 2011

Euro MPs vote for Financial Transaction Tax

Tax Justice media release
9 March 2011

“The massive vote in support of a Financial Transaction Tax by MPs in the European Parliament is good news for the campaign in New Zealand,” says Vaughan Gunson, Tax Justice campaign coordinator.

“It shows that support for a Financial Transaction Tax which targets the banks, speculators and big corporates is gaining momentum worldwide. New Zealand politicians must take notice.” (See attached article below: ‘MEPs vote in favour of 'Robin Hood' transaction tax,’ 9 March 2011.)

The Tax Justice campaign wants a tax placed on financial speculation, to discourage an economic activity that was behind the global financial crisis, but also to raise significant government revenue.

Greek Socialist Anni Podimata, who drafted the successful resolution for the European Parliament , says that while European citizens have been hit hard by the financial crisis and growing unemployment “the financial sector remains largely under-taxed and has this year enjoyed profits and bonuses at pre-crisis levels.”

“What’s happening in Europe is happening here,” says Gunson. “The Australian-owned banks, for example, have continued to make massive profits, while ordinary people are under increasing financial stress.”

“Because the New Zealand economy is so deregulated global speculators are allowed to continue their profiteering, and not pay any tax to the New Zealand government.”

“It’s hugely unjust that speculators are getting away with paying no tax on their profits, while grassroots New Zealanders get lumped with a tax on food,” says Gunson. “A Financial Transaction Tax is a solution."

Over 25,000 people have so far signed the Tax Justice petition to remove GST from food and tax financial speculation instead.

For more information go to

For comment, contact:

Vaughan Gunson
Tax Justice campaign coordinator
021-0415 082

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