ABN Amro hit with €142 mil. tax setback: report

ABN Amro has to pay 142 million euros in additional tax in agreement the bank reached with the tax authorities, Financieele Dagblad reports based on internal documents. According to the newspaper, the extra tax has to do with tax liability of two companies ABN Amro owns.

The two companies - Simba Finance and Pumbaa Finance - invested in governmentbonds and have 2.1 billion euros and 2.2 billion euros in assets respectively. In the prospectus the bnk wrote that the results of the companies do not have to be added to their own results.

A spokesperson for ABN Amro refused to comment on the matter.

According to the newspaper, the bank will pay the additional tax over five years. This year ABN Amro must pay an amount of 29 million euros.