Spanish Parliament Rejects Energy Windfall Profit Tax

Spain’s parliament rejected a proposal to extend a windfall profit tax on energy companies Wednesday, in a blow to the government’s attempts to increase revenue and boost environmental taxes.

Parliament rejected the proposal by 183 to 165 votes with one abstention. The windfall tax, first introduced in 2022, would have extended a 1.2% levy on energy companies with turnover of at least 1 billion euros ($1.04 billion).

• After an initial attempt to extend the levy failed in parliament last month, the government issued a decree in December 2024 to reimpose the measure. The decree also included ...