Italy Dashes Hopes of Expanded Tax Benefit for Bank Deals
- Measure had been designed to lure buyers for Monte dei Paschi
- Government approved 40 billion-euros stimulus Thursday
Banca Monte dei Paschi di Siena SpA bank in Rome.
Photographer: Alessia Pierdomenico/BloombergThis article is for subscribers only.
A beefed-up tax benefit Italy’s government originally planned for mergers and acquisitions in the banking industry has been scrapped from a 40 billion-euro ($49 billion) aid decree.
The article dropped from the draft legislation originally expanded the duration and scope of a fiscal benefit which allowed buyers of a bank to boost capital by transforming deferred tax assets from lenders involved in a deal into credits.