Wednesday, August 26, 2009

Congress Still Looking To Tax Stock Trades

The U.S. House of Representatives continues to investigate implementation of a tax on stock trades. I originally wrote about this in a post dated, March 1st titled, Congress Proposing Transaction Tax On Stock Trades. In July, I highlighted a screen shot from my Sitemeter account noting an additional search by the House. Well, today, the House continues to research this issue. The below screen shot notes details of the search.

I am not sure how taxing stock trades is beneficial for the market. Could this be one issue that takes some of the air out of the market's recent advance? In other situations where taxes have been increased, demand tends to decline. Lower demand could mean lower stock prices.

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