These are two items that will foreseeably be taxed by the new temporary tax proposed by the Government to limit the “extraordinary profits” of entities .8%The sector has charged against the Executive’s measure and defends that the current rate hike applied by the ECB are not extraordinary benefitsThis Thursday, Congress will debate the new temporary taxes on energy companies and financial entities proposed by PSOE and United We Can in a bill. Taxes that have been widely rejected by the sector. In this context, it has been known that the main Spanish banks entered 22,453 million euros in terms of net interest margins and net commissions in the first nine months of this year. A figure that represents 6.01% more compared to the same period of 2021, according to data compiled by Europa Press. These are the two items that are expected to be taxed by the new temporary tax proposed by the Government to limit the “extraordinary profits” that entities would be getting from the rise in interest rates. If the bill is approved in Parliament as it is drafted, the tax would be levied during 2023 and 2024 on the net interest margins and net commissions that entities obtain in Spain at a rate of 4.8%. It would be applied to those banks whose income in Spain exceeds 800 million euros. The sector, against the tax This measure, announced at the beginning of July by Pedro Sánchez, took the sector by surprise, which rushed to charge against it and defend that the current rate hike that the European Central Bank is applying are not ‘extraordinary benefits’, but rather a normalization of the path of interest rates. In addition, the large financial institutions have argued that their profitability is still maintained below the cost of capital and that this increase in rates is going to allow it to “recover” part of that profitability that it has not been able to obtain due to the ten years of zero or negative rates. Last week, during the presentation of results of the third quarter, the CEO of Banco Sabadell, César González-Bueno, pointed out that his entity had managed to raise the return on tangible capital (ROTE) to 8%, above to the 6% target contemplated in the strategic plan that the bank presented in 2021 and that will run until 2023, but which, however, remained below the cost of capital, which could make it difficult for banks to finance. Spanish banks have protested against the scale of 800 million euros in turnover to apply the measure. They consider that it distorts competition, as stated by CaixaBank’s CEO, Gonzalo Gortázar, in an interview conducted by KPMG Tendencias. The impact on bank accounts In July, Scope Ratings reported that CaixaBank would be the bank that would receive the greatest impact in their accounts, with more than 400 million euros in 2023, followed by Santander with 300 million, BBVA (250 million euros) and Sabadell (just under 200 million euros). This is so because CaixaBank is the bank with the largest volume of net interest margins and net commissions in Spain. In total, until September, it obtained 7,250 million euros for both concepts (4,471 million euros of margins and 2,779 million euros for net commissions), 11.4% more. Santander entered Spain around 5,300 million euros for margins and commissions, 2.0% more, while BBVA recorded 2.3% more for these two concepts during the first nine months of the year, up to 4,330 million euros.Sabadell has obtained 3.1% more, up to 2,890 millions of euros. For its part, Bankinter has recorded 1,518 million euros for interest margins and net commissions, 8.6% more, although those obtained in all the group’s geographies are recorded, and not only in Spain. Lastly, Unicaja Banco 1,159 million euros entered through net interest margins and net commissions, which represents an increase of 0.9%.