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Italy to Hit Energy Companies With 10% Levy to Fund Support Plan

  • Draghi announced $4.9 billion plan to aid consumers, companies
  • Italy already spends over 16 billion euros on energy measures
Vapour rises from a cooling tower at a power station in Sasso Pisano, Italy.

Vapour rises from a cooling tower at a power station in Sasso Pisano, Italy.

Photographer: Alessia Pierdomenico/Bloomberg

Italy will impose a windfall profit tax of 10% on some energy companies to finance a 4.4 billion-euro ($4.9 billion) package of measures to protect consumers and businesses from soaring prices. 

The levy will be calculated on the increase in profit that energy companies reported between October 2021 and March 2022, compared with the same period the previous year. Companies that report an increase of 5 million euros or more will face the 10% levy, according to a draft of the decree seen by Bloomberg News.