Spain Shelves Energy Windfall Tax, Plans to Extend Bank Levy to 2027 [Financial Post (Toronto, Ontario, Canada)]
REPSOL SA SP/ADR (REPYY)
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Source: Financial Post
Author of the article: You can save this article by registering for free here . Or sign-in if you have an account. (Bloomberg) — Spain's governing Socialist party reached an agreement with partners in parliament to extend a windfall tax on banks for three more years. Plans for a similar levy on energy firms will be shelved. The banking levy will now tax commission and interest margins and will be in place for three years starting in January, according to the draft proposal filed late Wednesday by the budget ministry, a copy of which was seen by Bloomberg News. The tax will apply on business in Spain for both local and foreign lenders, and will range from 1% to 6%. The agreement to extend the tax was reached as part of a broader fiscal package the Socialist Party negotiated with several smaller parties, notably the Basque nationalists of PNV and the Catalan separatists Junts, both of which are pro-business. The proposal may still undergo changes. While the government had
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