Italy Says It Won’t Seek Tax on Extra Companies Profits (1)

Italy will seek ways to finance the nation’s budget with a direct contribution from banks and companies, but it won’t put a tax on extra corporate profits.

The government is hoping for a contribution from those who have benefitted the most from particularly favorable conditions, according to a government official. But it wouldn’t resort to a levy on profits.

An upfront payment of withholding tax due by clients that will be recovered over the time via future cash flow or the postponement of deferred tax assets are among potential solutions banks are open to discussing with the finance ministry, according ...