Petteri Orpo (NCP), the Minister of Finance, says the government has agreed to present its proposal for introducing equity savings accounts for small investors to the Parliament. (Credit: Heikki Saukkomaa – Lehtikuva)
Petteri Orpo (NCP), the Finnish Minister of Finance, has revealed that the government agreed this morning to present its proposal for introducing equity savings accounts for small investors to the Parliament.
“We’re making progress on an important reform,” he rejoiced on Twitter.
The Finnish government has marketed the proposal as a means to make investment a more attractive proposition for ordinary citizens. The equity savings accounts could be used to invest up to 50,000 euros in the shares of listed companies, while the funds in the account would only be subject to a moderate capital income tax upon withdrawal.
The proposal has faced criticism from both opposition members and trade unions.
Timo Harakka (SDP) in September stated that the equity savings accounts would effectively lower tax rates for the wealthy while denting the tax revenues of Finland.
“Only four per cent of Finns own shares in more than four listed companies. The wealthiest one per cent owns nearly a half of the shares. What is preventing ordinary Finns from investing are not taxes but rather the fact that they are unable to save money,” he argued.
