Summary: S.647 — 116th Congress (2019-2020)All Information (Except Text)

There is one summary for S.647. Bill summaries are authored by CRS.

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Introduced in Senate (03/05/2019)

Wall Street Tax Act of 2019

This bill imposes a 0.1% excise tax on certain financial transactions such as the purchase of stocks, bonds, and derivatives.

The tax applies to the purchase of a security if (1) such purchase occurs on, or is subject to the rules of, a qualified board or exchange located in the United States; or (2) the purchaser or seller is a U.S. person.

A "security" includes

  • a share of stock in a corporation;
  • a partnership or beneficial ownership interest in a partnership or trust;
  • a note, bond, debenture, or other evidence of indebtedness; and
  • derivatives that meet specified criteria.

The tax applies to transactions with respect to a derivative if (1) the derivative is traded on, or is subject to the rules of, a qualified board or exchange located in the United States; or (2) any party with rights under the derivative is a U.S. person.

The bill exempts from such tax (1) initial issues of securities; and (2) any note, bond, debenture, or other evidence of indebtedness which is traded on or is subject to the rules of, a qualified board or exchange located in the United States, and has a fixed maturity of not more than 100 days.

The tax applies to transactions by a controlled foreign corporation and must be paid by its U.S. shareholders.