Sweden to hike taxes for banks next year

[STOCKHOLM] Sweden will introduce higher taxes on banks and other financial companies next year, Finance Minister Magdalena Andersson said on Wednesday.

In a signed article in Aftonbladet, Ms Andersson and the Left Party's Ulla Andersson wrote the new taxation was expected to bring in 1.4 billion crowns (S$231.46 million).

Sweden's minority government consists of the Social Democrats and the Green Party. Budgets are negotiated with the Left Party.

The higher taxes would come in the form of a scrapped tax deduction on subordinated debt and will be part of the budget for next year, due to be presented this autumn.

The government and the Left Party have previously said it wanted to introduce a tax specifically on banks, expected to raise 4 billion crowns.

The Left Party's Ulla Andersson told Swedish public radio the hiked taxes presented on Wednesday was not connected to that tax.

The country's four largest banks are Nordea, Handelsbanken, Swedbank and SEB.

REUTERS