HOW THE BANK LEVY WILL WORK

first_img KCS-content whatsapp Q.WHAT LEVEL IS THE LEVY BEING SET AT?A.The government gave no details on the rate at which the levy will be set. When it first unveiled plans in June, it said the initial rate would be 0.04 per cent rising to 0.07 per cent in 2012-13. However, many analysts think that rate is too high if the exchequer wants to cap the amount of revenue raised at £2.5bn.?The first £20bn of assets is tax-free. Q.WHAT CONCESSIONS DID THE BANKS EXTRACT?A.Unprotected customer deposits will be levied at half the rate of other “risky assets” like wholesale funding. Asia-focused banks like HSBC and Standard Chartered, argued that they would be disproportionately affected, because Asian depositors are not normally protected by the government.Q.WOULD BANKS PAY LESS BY MOVING OFFSHORE?A.Some banks would, yes. Foreign banks only have to pay the levy on their UK operations. So if HSBC were to move to Hong Kong, it wouldn’t have to pay the levy on any foreign assets at all?– just British ones – saving it a considerable amount. However, some foreign banks could be levied twice, if their home countries adopt a similar tax. The Treasury says it will give relief to banks being taxed twice but it hasn’t come forward with details on how it expects to do this. by Taboolaby TaboolaSponsored LinksSponsored LinksPromoted LinksPromoted LinksYou May LikeMisterStoryWoman Files For Divorce After Seeing This Photo – Can You See Why?MisterStoryTotal PastThe Ingenious Reason There Are No Mosquitoes At Disney WorldTotal PastNoteabley25 Funny Notes Written By StrangersNoteableyMoneyPailShe Was A Star, Now She Works In ScottsdaleMoneyPailSerendipity TimesInside Coco Chanel’s Eerily Abandoned Mansion Frozen In TimeSerendipity TimesBrake For ItThe Most Worthless Cars Ever MadeBrake For ItBetterBe20 Stunning Female AthletesBetterBemoneycougar.comThis Proves The Osmonds Weren’t So Innocentmoneycougar.comMagellan TimesThis Is Why The Roy Rogers Museum Has Been Closed For GoodMagellan Times Read This NextThe Truth About Bottled Water – Get the Facts on Drinking Bottled WaterGayotRicky Schroder Calls Foo Fighters’ Dave Grohl ‘Ignorant Punk’ forThe WrapCNN’s Brian Stelter Draws Criticism for Asking Jen Psaki: ‘What Does theThe WrapDid Donald Trump Wear His Pants Backwards? Kriss Kross Memes Have AlreadyThe WrapHarvey Weinstein to Be Extradited to California to Face Sexual AssaultThe WrapPink Floyd’s Roger Waters Denies Zuckerberg’s Request to Use Song in Ad:The Wrap’The View’: Meghan McCain Calls VP Kamala Harris a ‘Moron’ for BorderThe WrapNewsmax Rejected Matt Gaetz When Congressman ‘Reached Out’ for a JobThe Wrap2 HFPA Members Resign Citing a Culture of ‘Corruption and Verbal Abuse’The Wrap Sharecenter_img Thursday 21 October 2010 8:57 pm whatsapp Show Comments ▼ HOW THE BANK LEVY WILL WORK Tags: NULLlast_img

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