Santander Studying Legal Challenge to Spain Windfall Tax

Banco Santander SA, Spain’s biggest lender, is studying the possibility of challenging the country’s windfall tax.

The tax is levied on revenues and “this is one of the big issues we have and we are looking at whether this can be challenged in court,” Chairman Ana Botin said in an interview with Bloomberg TV. “What we say is yes, if taxes have to go up, that’s ok, but for everybody, and second taxes should be paid on profits, not on revenues.”

Spanish banks have been reeling since the government last year announced that it would slap them with a ...