New Jersey Governor Murphy might lose the Wall Street trading platforms in response to his plan to tax every financial transaction. The stock exchanges are thinking of moving to Texas.
Most major stock exchange operators, including the New York Stock Exchange, operate their trading platforms from data centers in New Jersey.
The Dallas Morning News reported that a proposed NJ tax would charge a quarter of a cent per “financial transaction” at entities in New Jersey that process at least 10,000 transactions annually via electronic infrastructure, the Dallas Morning News reported. That tax would generate an estimated $10 billion annually for the state.
Officials from Nasdaq and other major stock exchanges met with Governor Abbott earlier this month and will meet again on November 20th about moving the operations to North Texas. The talks appear serious, and Texas is business-friendly. Then again, it could just be a ploy.
Since COVID hit, most have worked remotely and that means they see themselves as far more mobile than they had in the past. If they can save billions in taxes by the greedy politicians, why not do it? In fact, that could become a trend. It’s not unheard of and the cities are often not business-friendly. For example, Charles Schwab is the third major company so far to move to North Texas.
“Texas continues to be the premier economic destination in the country, attracting more leading businesses than any other state,” spokeswoman Renae Eze said in a statement to The Dallas Morning News. “The governor looks forward to meeting with Nasdaq and showcasing Texas’ business-friendly environment, skilled workforce, robust infrastructure, and low taxes, all of which foster greater economic growth in the Lone Star State.”
If this happens, the loss of revenue and business in general for New Jersey and New York could become staggering.
If they end up in Texas, will Texas become New York or New Jersey with all of their horrendous ‘values?’ What do you think?