Is it possible to tax windfall profits?

[fillyboy]

MSN

www.msn.com

 

[JohnD]

MSN

www.msn.com

Italian windfall tax sends euro zone bank stocks tumbling​

Shares dropping in value

This is the price chart for Unicredit, which fell back nearly 6% today.

Over the past 12 months the price rocketed by over 120%

Now it is slightly less than 120% up.

Boo hoo.

Bring on the violins.

My heart bleeds.

 

[motorbiking]

or looking at it slightly differently.. we can all snapshot the good bits.

 

[JohnD]

"Last 12 months" is not a fiddled period.

Does your chart show an Italian bank?

You've cropped off the name

 

[JohnD]

Here is Unicredit's three year chart, for anyone who thought motorbiking was being truthful.

UCG:MIL = Unicredit Group on the Milan exchange.

 

[Mottie]

Can’t beat a bit of cash under the mattress.

 

[JohnD]

Poor Mottie doesn't understand the significance of inflation.

He gets very stroppy if it's mentioned to him.

 

[blup]

Cash in the attic.

Blup

 

[Mottie]

Poor Mottie doesn't understand the significance of inflation.

Oh, I do. I’m just repeating what a garage owner mate of mine said. He reckons every bit of cash under his mattress is worth at least 40% more than if he'd paid it into the bank. He's not worried if inflation is at 10%

 

[JohnD]

Oh, I do. I’m just repeating what a garage owner mate of mine said. He reckons every bit of cash under his mattress is worth at least 40% more than if he'd paid it into the bank. He's not worried if inflation is at 10%

What effect does 4 years at 10% inflation have?

 

[Mottie]

What effect does 4 years at 10% inflation have?

A lot less effect on money that hasn’t been taxed at 40% before it’s put under the mattress. That’s always assuming it’s not been spent on holidays, clothes, cars, jewellery, watches and gold coins I'd say, wouldn’t you?

 

[motorbiking]

Here is Unicredit's three year chart, for anyone who thought motorbiking was being truthful.

View attachment 310452

UCG:MIL = Unicredit Group on the Milan exchange.

You really think its valid to compare the performance of a single stock against 3 irrelevant indices?

 

[JohnD]

Are you pretending that the presence of the indices makes the chart "wrong?"

 

[ellal]

A lot less effect on money that hasn’t been taxed at 40% before it’s put under the mattress.

Is that before or after defrauding the taxpayer on work not done?

 

[JohnD]

"As governments face pressure to support citizens struggling with increased energy and housing costs, lenders enjoying bumper profits on the back of central bank policy rate rises are seen as easy targets to plunder.

“You are not going to lose too many votes by increasing taxes on banks,” said Giles Edwards, a banks analyst at S&P Global Ratings.

Italy’s 40 per cent tax on net interest income, announced on Monday evening, follows similar moves made by EU governments in Spain, Hungary, the Czech Republic and Lithuania over the past year."

FT.com


'mmmmmm, I wonder if Rishi's hunger for votes will overcome his love of banks.