Government To Raise EUR 50M p.a. From Bank Tax
The government has given the thumbs up to a draft bill to slap a special tax on banks in Slovakia, setting it at 0.2% of selected liabilities (minus equity and protected deposits), and so convert some bank profit into budget revenue.
According to the calculations of the Ministry of Finance, the tax could generate around EUR 50 million a year for the state, while cutting around 8% of banks’ pre-tax profits.
The revenues will be placed in a special account that will then be used to help ease any financial crisis, while the plan should also make banks more prudent about system risk and so keep the sector healthy.