Bank tax proceeds should go to treasury: finance minister

Sunday 18 April 2010

The proceeds of any new tax on banking profits should go to the treasury rather than a special fund for banks which get into trouble, finance minister Jan Kees de Jager said at a meeting of European finance ministers in Madrid on Saturday.

De Jager backs a banking tax so long as the demands placed on banks are not too high and that the tax is coordinated internationally, the Financieele Dagblad reports.

'The banks have to be in a position to continue to do their job,' Nos tv quoted the minister as saying.

But he opposes the setting up of a special emergency fund, as put forward by internal market commissioner, Michel Barnier.

This could give banks the idea they can carry on as they wish because any risks they take are covered, De Jager said.

Dutch central bank president Nout Wellink also warned that the tax could bring disadvantages.

Barnier is expected to present formal proposals for a banking tax in June.

© DutchNews.nl

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