Santander contests extraordinary contribution imposed by the government in 2011

Santander has joined Novobanco and BPI in contesting an extraordinary contribution of €146.2 million slapped on three of Portugal’s largest bank in the wake of the Great Financial Crisis in 2011.

The banks have filed challenges against the Tax Authority because of the extraordinary contribution that they have been obliged to pay every year since it was created in 2011, despite being “extraordinary,” and therefore should be of a short term in nature, according to Jornal Económico.

In all, the tax authorities are being challenged over at least €146.2 million by three of the largest private banks, since the two lawsuits that Novobanco filed with the Lisbon Tax Court, published on August 13, in which it disputes the extraordinary contribution paid to the tax authorities in 2022 and 2023, of €28.3 million and €29.2 million euros, respectively, have been added to those of Santander and BPI.

Portugal has slapped a contribution on the banking sector since 2011, an additional solidarity on the banking sector since 2020 during the Covid-19 crisis, an extraordinary contribution on the pharmaceutical industry since 2015, and an extraordinary contribution on suppliers of medical devices to the national health service since 2021. A new special contribution for the conservation of forest resources was also in the process of being created (again) for 2023.