European Commission proposal for a Council Directive implementing enhanced cooperation in the area of financial transaction tax. COM(2013) 71 final. Issued Brussels, 14.2.2013.
1.In respect of each financial transaction, FTT shall be payable by each financial institution which fulfils any of the following conditions:
(a) it is party to the transaction, acting either for its own account or for the account of another person;
(b) it is acting in the name of a party to the transaction;
(c) the transaction has been carried out on its account.
2. The FTT shall be payable to the tax authorities of the participating Member State in the territory of which the financial institution is deemed to be established.
3. Where a financial institution acts in the name or for the account of another financial institution only that other financial institution shall be liable to pay FTT.
4. Where the tax due has not been paid within the time limit set out in Article 11(5), each party to a transaction, including persons other than financial institutions shall be jointly and severally liable for the payment of the tax due by a financial institution on account of that transaction.
5.The participating Member States may provide that a person other than the persons liable for payment of FTT referred to in paragraphs 1, 2 and 3 is to be held jointly and severally liable for the payment of the tax.
The participating Member States shall adopt measures to prevent tax fraud and evasion.
Member States shall require investment firms to keep at the disposal of the competent authority, for at least five years, the relevant data relating to all transactions in financial instruments which they have carried out, whether on own account or on behalf of a client. In the case of transactions carried out on behalf of clients, the records shall contain all the information and details of the identity of the client, and the information required under Council Directive 91/308/EEC of 10 June 1991 on prevention of the use of the financial system for the purpose of money laundering.
Source: adapted from the original documents © European Union, 1995-2013. Responsibility for the adaptation lies entirely with KPMG International.