STOCKHOLM Feb 25 Sweden's government will draft
a new bank tax proposal after scrapping its initial plan, but it
is unclear if the new bill will be ready before the 2018
election, Finance Minister Magdalena Andersson said on Saturday.
The centre-left minority government said on Friday it had
decided to scrap an earlier proposal for a payroll tax on
financial services, commonly known as a bank tax, after
criticism that it would hit many more companies than originally
The government said that the new proposal would be more
narrowly directed at the banks but that it would take time to
compile as the European Union would have to weigh in on whether
the new draft is in compliance with state aid regulations.
"It is not certain that it can be implemented before the
elections," Andersson said at a news conference.
The government had hoped to have the tax in place before the
September 2018 elections.
The timeline is important because the opposition flatly
rejected the earlier proposal, saying it would only force the
banking sector, including Nordea, Handelsbanken
, Swedbank and SEB, to move staff
The government has long sought to impose a financial
services tax, saying the sector - which is exempt from
value-added tax - is doing well and should pay more to the
(Reporting by Johan Ahlander and Bjorn Rundstrom; Editing by