On 23 January 2013, a majority of European Union finance ministers voted to allow Germany, France and nine other euro zone countries to prepare to introduce a tax on financial transactions. The vote clears the way for Germany, France, Italy, Spain, Austria, Portugal, Belgium, Estonia, Greece, Slovakia and Slovenia to press ahead with their own tax on trading.
Financial institutions involved in securities business are likely to be directly impacted by new FTT regimes. In particular, banks, brokers, asset managers, insurers and custodians all need to be developing a response to these developments. For these reasons, FTTs have significantly changed the tax landscape for Financial institutions. Importantly, this is also an issue for non-EU institutions.