CYPRUS

A butterfly flaps its wings in Asia and causes a tsunami of the coast of Florida.

Now that may not happen given the latest news about bank deposits in tiny Cyprus, an island of roughly one million off the coast of Greece.

The Cyprus government bought some more time earlier today when it apparently decided to delay any vote on the matter until Tuesday.

But don't be mislead by the smallness of Cyprus.

It is a full-fledged member of the EU and people are not so dense as to recognize that what happens in Cyprus doesn't always stay in Cyprus. Italy, Greece and Spain have bank depositors, too.

And they are not alone when it comes to the possibility of further assistance.

This has always been a northern versus southern riff with fiscally sounder northern countries like Germany and Finland reluctant to bail out its weaker, southern members of the EU.   

Like most cases there are unforeseen ripples that become visible later. The UK has a military presence in Cyprus and with reportedly over 1.5 billion euros deposited there. Any tax would, whether Britain is compensated in some way, send further ripples back to the UK where many oppose any connection with the Eurozone.

Many Brits oppose giving up its sovereign currency. And this could easily fuel more I-told-you-so talk. 

Russia may have a say. Initial response from Moscow has been critical. Russia supplies much of the EU's natural gas thirst, so it is hardly without bargaining chips.

As for Americans who for the most part are getting next nothing on their bank deposits, perception becomes even more important. It can happen here with revenue hungry federal, state and local governments conspicuously on the prowl.

Recall that many big banks here not that long ago wanted to charge ATM fees for withdrawing your own money. A fee is a tax whether it's imposed by private or public entities.

Read the Cyprus story carefully and you won't have any difficulty finding the tax term.