20 June 2016 Swedish Government proposes prohibition to deduct interest on certain subordinated debt for financial sector The Swedish Government has proposed a prohibition to deduct interest expenses on subordinated debt that may be included in the capital base under Articles 52 and 63 of the Prudential Regulation and under Article 88 of the Solvency II Directive. The change will affect banks and other credit institutions, securities companies, the Svenska Skeppshypotekskassan (Swedish Ships Mortgage Bank), payment institutions, certain managers of alternative investment funds (AIFM), insurance companies and corresponding foreign companies carrying out taxable business in Sweden. The changes to the Swedish Income Tax Act are expected to enter into force on January 1, 2017. Document ID: 2016-1067 |
