Physical cash would have to be withdrawn and so therefore would have been involved in the tax system prior to release
That's taking banking for granted. More likely they're trying to squash whatever pure cash economy is left in their country. If you get €100 to fix your neighbor's car and then spend €100 for another neighbor to babysit your kid, that's €200 of "income" they didn't get to tax or track. If you're limited on how much cash you can hold, this gets harder for anything more valuable.
A 0.5184% tax (return will be 1.44 percent, on which you pay 36 percent tax) is so low by European standards that this could only exist for them to use it as a legal weapon upon discovering cash in your home or to establish a precedent.
That's taking banking for granted. More likely they're trying to squash whatever pure cash economy is left in their country. If you get €100 to fix your neighbor's car and then spend €100 for another neighbor to babysit your kid, that's €200 of "income" they didn't get to tax or track. If you're limited on how much cash you can hold, this gets harder for anything more valuable.
A 0.5184% tax (return will be 1.44 percent, on which you pay 36 percent tax) is so low by European standards that this could only exist for them to use it as a legal weapon upon discovering cash in your home or to establish a precedent.
You don't hate a country's equivalent of an IRS enough. You think you do, but you don't.