Intesa Sanpaolo, one of Italy's leading banking institutions, announced its intention to exercise an option provided by the Italian government. Instead of paying the government's banking windfall tax, Intesa plans to set aside funds for this purpose.
The bank will encourage its subsidiary banks, namely Fideuram, Intesa Sanpaolo Private Banking, and Isybank, to follow suit and allocate funds equivalent to two-and-a-half times the amount they would have paid in taxes.
As a result, the entire Intesa Sanpaolo group will place approximately €2.07 billion ($2.19 billion) into a non-distributable reserve. This reserve cannot be distributed among shareholders, and it is based on an estimated tax amount of around €828 million.
Furthermore, the parent company, Intesa, intends to allocate around €1.99 billion, considering a calculated tax amount of approximately €797 million.
The proposed course of action will be presented to shareholders for approval during the evaluation of the bank's 2023 financial statements.
We are excited to see how this alternative approach unfolds for Intesa Sanpaolo and its shareholders.
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