Ruling party proposes taxing banks for social needs

After the Electoral Action of Poles in Lithuania – Christian Families Alliance joined the ruling coalition in Lithuania, more and more possibilities arise to implement the party's plans to tax assets of commercial banks, the Verslo Zinios business daily writes.

The party suggests introducing a 0.4 percent annual rate for bank assets and estimates that Lithuania's budget could get around 100 million euros in additional income every year, and these additional funds could be used for social needs.

The government is cautious about the idea, the daily writes, with banks' representatives saying such a new tax would do more harm than good.

BNS Lithuanian reminds that the EAPL-CFA has been raising the idea of taxing banks for the past several years, and its representatives also talked about it even before the party joined the ruling coalition, which it did last summer. The party says the money could, for example, go to further increasing the child benefit.