Italian budget vote brings equity derivatives tax closer

Watered down proposals include equity derivatives to avoid creating loophole, experts say

Italy took a step closer to taxing equity derivatives transactions this afternoon, when the country's Senate approved a budget containing amended proposals for a financial transaction tax (FTT). The proposals were watered down last week to mirror the FTT already in force in France but equity derivatives remain in scope – an apparent attempt to close a loophole in the French tax, which only covers cash equities.

"By including a tax on equity derivatives the goal is to avoid any possibility that