Italy’s government changes bank windfall tax proposal after outcry
Banking executives criticise plan’s design and say new proposals are still unclear
The Italian government has modified plans for a windfall tax on banks after strong criticism from the financial sector and a slump in lenders’ share prices.
On August 7, the government announced a 40% levy on banks’ interest margins, without any previous consultation with the banking sector. It then significantly changed its proposals in an effort to restore banking sector confidence.
Observers from the financial sector say the plan is poorly designed and the proposed changes still leave Italy
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