Interactive Data has created a new service to support the identification of instruments subject to recently implemented French and Italian Financial Transaction Taxes (FTTs).
Financial organisations may be required to determine and collect applicable transaction taxes under the French and Italian FTTs. Interactive Data’s new service is designed to help financial institutions with this process by identifying instruments that may fall within the scope of the French and Italian FTTs.
The Interactive Data service compiles a list of instruments meeting the market capitalisation, location of issuer and other criteria specified in the French and Italian FTTs. This information is updated on a daily basis to reflect instrument level changes and additions, including those arising from corporate actions such as rights issues.
“The FTT represents an operational challenge for financial institutions due to the complexities of identifying securities in scope and determining the level of tax on those instruments,” said Anthony Belcher, director of EMEA Pricing and Reference Data at Interactive Data.
“Our new service enables firms to determine the securities that may fall under the scope of the transaction tax within each jurisdiction whilst removing the need to maintain these lists themselves. This is just one of many reference data services we provide that support compliance with tax-related and other regulations such as EUSD, MiFID, U.S. federal income tax withholding obligations and the UK offshore funds distributor/reporting status.”
