A Tobin tax was originally defined as a tax on all spot conversions of one currency into another. Tobin's tax was originally intended to penalize short-term financial round-trip excursions into another currency. By the late s, the term Tobin tax was being, contrary to its original use, used to apply to all forms of short term transaction taxation, whether across currencies or not. Another term for these broader tax schemes is Robin Hood tax , due to tax revenues from the presumably richer speculator funding general revenue of whom the primary beneficiaries are less wealthy. More exact terms, however, apply to different scopes of tax.
Taxation Direct and Indirect taxes - Essay Example
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