In February 2011, the Commission launched a public consultation in order to receive stakeholder feedback on its initiative for the taxation of the financial sector. The Commission wanted (i) to test its assumptions and collect related evidence as regards the definition of the problems, (ii) to assess the impacts of the set of policy options and (iii) to consult on more detailed aspects of the feasibility and design of the policy option.
Both ALFI and EFAMA are of the opinion that the asset management industry should be excluded from the scope of financial sector taxation, because the financial crisis was not caused by this industry. They are convinced that an additional cost impact would be passed on to the end-consumers and their long-term savings. Moreover, they believe that taxation is not an appropriate instrument for addressing market behaviour, and ALFI doubts that increasing taxes will prevent excessive risk-taking.
Please click here to read ALFI’s response to the consultation.