Swiss Rescue Of Major Bank Creates Five-Figure Tax Liability For Each Citizen
Swiss citizens are finding themselves shouldering the losses incurred due to the merger of the two largest investment banks of the country – UBS and Credit Suisse – which will cost each citizen approximately $13,500 in taxes. UBS has agreed to acquire Credit Suisse for $3 billion, with the government offering financial backing to the tune of $108 billion along with $10 billion worth of potential guarantee against losses. The move will lead to each of the 8.7 million Swiss citizens being taxed $13,500, accumulating to 20% of their typical annual income. This move has gathered a lot of criticism from citizens.
Credit Suisse, eighth-largest investment bank in the world, had identified several weaknesses in its risk assessment strategy, prompting a withdrawal of $119 billion by its clients in the fourth quarter of last year. Additionally, the Financial Stability Board has listed Credit Suisse among globally systemically important banks. In contrast, UBS and three other banks are also designated as systemically important by the Swiss National Bank. The collapse of such large institutions is often too big to impact the greater international financial market.
Christoph Rechsteiner, a partner at the Swiss tax consultancy MME, has stated that the government is backing these losses, leaving the citizens to bear the brunt of it all. Silicon Valley Bank running into similar issues has only aggravated the situation further, with a multitude of banks seeking to acquire parts of its remaining operation.
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
Physician's Choice Probiotics 60 Billion CFU - 10 Strains + Organic Prebiotics - Immune, Digestive & Gut Health - Supports Occasional Constipation, Diarrhea, Gas & Bloating - for Women & Men - 30ct
Pure Encapsulations Magnesium (Glycinate) - Supplement to Support Stress Relief, Sleep, Heart Health, Nerves, Muscles, and Metabolism* - with Magnesium Glycinate - 90 Capsules