Caixabank will say No to Spain’s 4.8 per cent windfall tax

CAIXABANK intends to lodge a formal challenge against Spain’s 4.8 per cent windfall tax.

The bank joins other Spanish lenders in objecting to the temporary tax announced by the government in December to finance the €6 billion measures introduced to counteract the cost of living crisis.

The group – in which Spain’s government still has a holding of just over 16 per cent via the 2009 Bank Restructuring Fund (FROB) – described the tax as “discriminatory, confiscatory and distorting market competition within the eurozone.”

Instead of settling the first advance payment of the windfall tax on net profits of more than €800 million due  in February, Caixabank has opted to contest the levy.

Sabadell, Bankinter, Abanca and Kutxabank have joined, or will join, Cataluña-based CaixaBank in appealing against the tax.

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