Blogs and advice from Industry leading Specialists
Valuable Opinions, Comments & Gossip
Financial related News & Articles relating to Spain
Latest News, Stories
& Hot Topics
Various Tools & Widgets to help with your financial needs
Tools & Widgets to
help with finances
Polls, Surveys and Opinions featured throughout Tumbit
Featured Polls, Surveys & Stats
Discussions, Advice & Topical Chat
Discussions, Advice & Topical Chat

Spain Bad Bank Offers Tax Breaks to Attract Investors

Source: Bloomberg - Thu 15th Nov 2012
Spain Bad Bank Offers Tax Breaks to Attract Investors

Spain's government approved tax incentives to attract investors to the bad bank it's creating to comply with the conditions of its 100 billion European bank bailout.

The decree allows the bad bank, known as SAREB, to transfer assets to funds that will be set up according to asset type, Economy Minister Luis de Guindos said. The funds will target institutional investors and will be taxed similarly to collective investment vehicles, or SICAVs, which pay 1%.

"The obligation for the state to succeed in selling assets has made it necessary to give funds a fiscal incentive," de Guindos told reporters today after the weekly Cabinet meeting in Madrid.

Spain is trying to attract investors to buy the assets of the bad bank while also seeking private shareholders for the institution to limit the cost to tax payers. The bad bank, which is set to come into effect on Dec. 1, plans to buy about 62 billion euros of assets from rescued lenders, including loans to real-estate developers and foreclosed properties.

Transfers from the bad bank to the funds and operations by both will be also exempt from transaction taxes, de Guindos said.

Comment on this Story

 
Be the first to comment on this Story !!

Related Partners

Recommended Items

Related Articles

Related Blogs