Italy Surprises Markets With Tax on ‘Extra’ Profits of Banks (1)

Italian Prime Minister Giorgia Meloni’s cabinet approved a surprise tax on the “extra profits” of banks this year.

The levy was slipped into a huge package of measures that ranged from taxi licenses to foreign investment. The tax could bring over €2 billion ($2.2 billion) into state coffers, according to Ansa newswire.

Italy agreed on a “40% withdrawal from banks’ multi-billion euro extra profits” for 2023 which is set to finance tax cuts and support for mortgages for first-time owners, deputy Prime Minister Matteo Salvini said at a press conference in Rome where he appeared without Meloni.

The unexpected ...