eu helps itself to savers money

[nick mercedes]

...but does anyone know why the Cyprus Government has chosen to levy the 10% tax on bank accounts when the rest of the bail-out Governments didn't?

Russians have loads of money in Cyprus, so it's an easy way to tax them.

 

[nick mercedes]

But having read into this a bit further - it seems you get the allocated bank shares as compensation.

End up with worthless shares in exchange for your life savings?

 

[Palfrem]

Russians have loads of money in Cyprus, so it's an easy way to tax them.

I thought the Russians had loads of cash in Spain too. Hence the building boom.

 

[Palfrem]

end up with worthless shares in exchange for your life savings?

rbs?

 

[Dieselman]

But having read into this a bit further - it seems you get the allocated bank shares as compensation.

This is the jokes section...isn't it?

 

[w124nut]

This is the jokes section...isn't it?

It would be a joke if it wasn't true - RBS

 

[Satch]

First off this is not about Politics in the conventional sense but all about the survival of the grand Euro experiment.

It has been on the table for over a month now but was discounted by President Anastasiades: in fact his inauguration speech contained the following words:

“absolutely no reference to a haircut on public debt or deposits will be tolerated” for good measure saying that “such an issue isn’t even up for discussion.” But 15 days is a long time ......

The Cypriot Finance Minister said it would be lunacy for the EU to impose such a measure because it would threaten the euro system.

But here we are because absent this wonderful deal the Eurozone support for Cyprus vanishes on 21st March and their banks are bust. Effectively it is Blackmail: accept the deal or all your banks go bust.

Quite clearly these genius Euro enthusiasts think that nobody will really care because Cyprus is so small and nor will the Russian Government because they are party to the bailout.

Well think again, because discussing with people yesterday and this morning there is a world of pain about to come down the pipe because the corporate world is not impressed. May be Cyprus today but once the precedent is set Italy & Spain would be next in line and anywhere in the Eurozone is tainted to some extent. Not good.

The economic and legal implications of this are vast because, in the view of the Cypriots, all this is dressed up as a rescue package but designed to effectively destroy their offshore banking economy

Anyhoo, all of this has to get through the Cypriot House of Representatives and the vote has been postponed because, oddly enough, there is just a spot of anger about this.

 

[artyman]

Like most of this sort of thing it is the precedent that is worrying. Could it happen here in the UK, I sincerely hope not. However with interest rates so low, the possibility that this threat could affect you, the mattress is starting to look attractive. Is it time to buy shares in firms making home safes.

 

[fatdazza]

End up with worthless shares in exchange for your life savings?

Actually only 6.75% of your life savings if under 100,000 Euros or 9.9% if over 100,000 Euros.

 

[WDB124066]

Since we are just grabbing cash, I'd be far more impressed if they took (another) 25% of the banks profits, after all it is them who created the mess isn't it....
The fact that so many of these banks are now making such huge profits seem to suggest we are rewarding bad behaviour, that is a big no no!!


Also, pity the same people over and over again start hijacking an OT thread, just go away if you don't like it and leave the discussion to those who are genuinely interested in this and feel the need to discuss it the way things used to be discussed here.

 

[fatdazza]

The word you are looking for is "precise".

Instead of posting links to politically motivated websites, just tell us how much the tax is on a litre of diesel.

What really makes me laugh is that we don't really care about paying the tax on fuel, otherwise no-one would be driving V8 engined cars..of which there are quite an abundance on this forum.
So it can only be that people want to have a moan and long winded rant about nothing.

Diesel at my "local" is £1.469 per litre

VAT amounts to £0.2448 per litre

Fuel duty is £0.5795 per litre

So total tax is £0.8243

Which equates to 56% of the cost in tax.


There is nothing on the telly tonight

 

[Peter DLM]

The word you are looking for is "precise".

Instead of posting links to politically motivated websites, just tell us how much the tax is on a litre of diesel.

What really makes me laugh is that we don't really care about paying the tax on fuel, otherwise no-one would be driving V8 engined cars..of which there are quite an abundance on this forum.
So it can only be that people want to have a moan and long winded rant about nothing.

Yes, you precisely declared an untruth about the composition of the price of a litre of fuel. :fail

What's the political nature of the a website got to do with anything? It's purpose is just to educate you about fuel prices, that's all.

 

[WDB124066]

Wonder if the gold price will spike a little as a result of this as people look for other places to keep their money.

I also think this may further drive the "underground cash only" economy as people avoid banks altogether - around the planet.

 

[Dieselman]

Yes, you precisely declared an untruth about the composition of the price of a litre of fuel. :fail

Considering I was only 6% out and that is due to increased Vat, not fuel duty...AND I said it was my recollection iirc, how is that an untruth.

Bear in mind the tax take used to be over 80% of the retail price.


Long story short. No-one gives a fig about the tax on fuel, otherwise they would run more efficient cars.

If you really are that bothered, lobby your MP.

 

[Peter DLM]

I'm not in the slightest bothered, what made you think I was?

I was just helping the thread about confusion on the matter, that's all.

 

[neilrr]

hir is sum kittons,
kittons r nice

 

[developer]

hir is sum kittons,
kittons r nice

Works for me.

 

[markjay]

Wonder if the gold price will spike a little as a result of this as people look for other places to keep their money.

I also think this may further drive the "underground cash only" economy as people avoid banks altogether - around the planet.

Don't know about gold, but in Italy and France many people have recently installed large safes in their homes for cash removed from banks.

The Cyprus move is a very silly one in my opinion, and I am not saying this based on any moral or ideological reasoning but on a very practical note. It will simply cause people around the EU to stop using banks (there's not much interest to be had these days in saving accounts anyway). Savers will prefer to take their chances with burglars and robbers than with thier own governments.

This will simply drive the economies further into the black, as more people who already have cash will buy and sell in cash thus bypassing all forms of government taxation.

As result EU governments will collect less and less taxes and this will eventually culminate in the inevitable move that developing countries take when loosing control of thier cash - the New Euro note will replace the old Euro and people brining-in old notes to change will have to register and be ready to explain how they came by them...

And then of course everyone will be buying gold and silver and use bartering, signaling the end of civilised economy as we know it.

This has nothing to do with the rights or wrongs of taxation, or any moral or ideological point of view - it is simply NOT the right move in a time when we are so desperately trying to restore people's confidence and trust in financial institutes.

 

[markjay]

I think that this will be a turning point (for the worse) for our banking system and that history will see this decision as a monumental mistake right alongside the decision to let Lehman Brothers fail.

 

[balge]

BBC News - Cyprus begins controversial oil and gas drilling

Cyprus has oil and gas...who knew
so it's a turf war between the EU and Russia to control the supply? Bankrupt Cyprus and force them into 'administration'?

Russian spy ring paymaster disappears from Cyprus - CSMonitor.com