GOP Rep. Long Offers Bill to Forestall Cyprus-Like Deposit Tax

A bill to prevent the type of tax on bank accounts that has roiled Cyprus was introduced into the House of Representatives on Wednesday.

Rep. Billy Long is adamantly opposed to any such levies in the United States. "The government should not tax people's private savings accounts, which they have already paid taxes on, especially for the purpose of funding more bailouts," he said, according to The Hill.

The Cyprus tax was agreed to by the Mediterranean island’s government as a condition of a bailout from the European Union, the European Central Bank, and the International Monetary Fund.

But the Cypriot parliament voted down the tax Tuesday amid an outcry from citizens. News of the tax caused losses in financial markets worldwide Monday.

Long, a Missouri Republican who is the bill’s sole sponsor, said, "I was shocked by the news that some countries might be considering these kinds of taxes, and I think Congress should say that this kind of tax won't happen in America."

Long's resolution says Congress shouldn’t consider legislation that takes away "any or all personal savings held by the American people," including retirement accounts. It urges Congress to "refrain from considering or adopting any legislation to provide financial relief to a private business or general sector of the American economy at taxpayer expense."