A Wall Street Sales Tax is a step toward a fairer tax code. Ordinary people pay sales taxes on all manner of goods and services, yet no such taxes apply to Wall Street actors when they buy and sell financial securities. A Wall Street Sales Tax — also known as a financial transaction tax, speculation tax, or Robin Hood tax — is a small fee of a few cents per $100 that would be imposed on transactions in stocks, bonds, or derivatives. If legislation establishing such a tax were passed, the cost would fall overwhelmingly on Wall Street firms and high-frequency traders who hold financial instruments for mere minutes, seconds or even milliseconds, as opposed to long-term investors.

Such a tax would help reorient Wall Street’s focus toward long-term investments that support Main Street businesses, make Wall Street pay more of its fair share of taxes, and raise hundreds of billions of dollars in revenue over the next decade that could be used to protect and enhance retirement programs and invest in working family priorities like education, health care, child care, housing, environmental protection and rebuilding infrastructure. Taxing Wall Street trades would help address rising economic inequality and reduce financial sector risk and volatility, while raising revenue that could be used for critical public services and investments.

Bills

The bill taxes Wall Street trades to discourage short-term bets that destabilize markets and generate billions in new revenue for services our communities need.

Tax on Wall Street Speculation Act (H.R.2735/ S.1283)

Wall Street Tax Act (H.R.328/S.817)

Factsheet: Wall Street Sales Tax

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