Murphy ‘Very Seriously’ Mulls N.J. Tax on High-Volume Trades (2)

bloombergtax ^ | 08/31/2020 | n/a

[ChicagoConservative27]

New Jersey Governor Phil Murphy said he is “very seriously” considering a tax on high-volume electronic trading in the state, home to Wall Street’s massive server farms.

“The notion is something we like a lot,” Murphy, a Democrat and retired Goldman Sachs Group Inc. senior director, said Monday, warning litigation would be a near-certainty. Though the nation’s top banks and money managers are traditionally in New York, such a tax would have huge implications for the industry, with northern New Jersey effectively serving as modern Wall Street’s digital trading floor.

[ChicagoConservative27]

He should be taxed every time he says something stupid. What a prick.

[Lurkina.n.Learnin]

Why doesn’t Houston build a Wallstreet?

[wny]

The work from home model is working. If staff doesn’t need to be in state, neither does the company itself. Firms will start leaving these liberal hellholes for states that don’t treat businesses as prey.

[rktman]

How long are the reservation lines for moving vans/uhaul/hertz/penske? Folks should call ABF for some moving containers. NOT PODS. Too expensive. Unless you REALLY want out that bad.

[Dilbert San Diego]

If this tax were enacted, wouldn’t the server farms be relocated out of Jersey?????

Has there ever been any tax, of any kind, which raised the projected amount of revenue? Isn’t it a fact that the imposition of a tax will change people’s behavior, so that those who can will avoid or minimize actual payment of such a tax????

[Vigilanteman]

. . . with northern New Jersey effectively serving as modern Wall Street’s digital trading floor.

It is a very short move to Allentown, Pennsylvania or Wilmington, Delaware.

[Sequoyah101]

With stupid ideas like a tax on trades going on someone will soon enough.

This guy has to smarter than he seems? If not, proving you don’t have to be smart to make money in the market?

[libertylover]

Though the nation’s top banks and money managers are traditionally in New York, such a tax would have huge implications for the industry, with northern New Jersey effectively serving as modern Wall Street’s digital trading floor.

And can easily be moved to a tax-friendly state. What an idiot.

[jughandle]

Way to go governor, when my personal budget falls short I wish I could just grab more money from...somewhere.

Sad thing is most everyone in the state will say nothing because “it doesn’t affect me”.

[gasport]

Team Bidet is bullish on STPD.

[SmokingJoe]

Is this fool aware that high volume trading can be done anywhere with a high speed link?
Of course he is.
So why would anyone live in already overtaxed New Jersey to do high volume trading so they can pay even more tax on their trading?

[gunnut]

Servers can be moved fast. Most of these servers already have backup hot sites so they could literally shift traffic to them in mere seconds.

If he wants to drive high tech jobs out, please do this.

[nwrep]

I support this. None of these guys are Republicans. Let them tax each other.

[.44 Special]

The servers could be located in Nebraska and it wouldn’t matter one damn bit. Put a mirror site in Pocatello and you’d have a good start on a strong disaster recovery plan.

[jz638]

Is this fool aware that high volume trading can be done anywhere with a high speed link?

Actually, for the types of processing going on with these types of trades, physical proximity on the fiber trunks is important, the trades are happening that fast and the success of the processes are dependent on competing with other very fast algorithms to be first to get that trade committed (And yes, I understand it's a bit difficult to believe given how fast networks run, but it's about making a trade under the optimal conditions and doing it before someone else does, many many times).

The high speed trade industry is the closest thing to legally printing your own money that exists today. Really it shouldn't be legal at all, but I don't care one bit if it's taxed out of existence. All it does is put money into the hands of already wealthy brokers and add volatility into the market because algorithms react to numerical conditions, not anything in the real world with a human interaction.

[Herodes]

Agreed. Let them tax themselves to death. I’m praying for more and higher taxes in every Blue State. Go for it!

[Zhang Fei]

NJ ping

[crz]

The stupid son of a bitch.

Of course, he is that stupid he cant read what it says in the enumerated powers in the Constitution.

[SmokingJoe]

Yeah but the reason why Wall Street moved most of their servers to places like Secaucus in New Jersey in the first place was because of 9/11.
If you can have high speed links from the exchanges in NYC to places like Secaucus in New Jersey, you can do the same to other towns which are much closer.
Super fast fiber optics is common these days.

[moovova]

“How long are the reservation lines for moving vans/uhaul/hertz/penske?”

I’m guessing folks have gotten so desperate, they’re going out of state to rent a truck...driving it back to NY/NJ...loading up...and driving to their new home state.