I'm biased of course but it makes no sense to tax something where liquidity is being provided and folks are making a living. WHy not tax useless or harmful things like tobacco or junk food, for instance, which really don't add much to the common good.
I have no idea how many active scalpers like me are out there. Would the institutions, like Morgan Stanley and others pay the same tax?
It doesn't smell right to me.
Lots of active scalpers/daytraders out there. For example, just take a look at the 2+million contracts traded daily in the ES. That's 2+ million times contract size of $50,000. Then there is all the other index futures, SPY, QQQQ, options, etc etc. Imagine that they decide to levy that .25% on the contract size of $50K. That could be $250 per round turn, plus commissions. That would end that market.
Politicians don't understand that liquidity provided is a benefit...and it sounds like some of the posters in this thread are unaware as well.