Alexa
  • Directory of Taiwan

Rivals attack tax cut plans of Germany's Merkel

Rivals attack tax cut plans of Germany's Merkel

Chancellor Angela Merkel's center-left rivals on Monday attacked her conservative bloc's pre-election pledges of tax relief, arguing that Germany's financial situation leaves no room for "tax gifts."
Merkel's Christian Democratic Union and its Bavarian sister party, the Christian Social Union, on Sunday approved a platform for the Sept. 27 election that centers on middle-income tax relief.
Merkel argued that, to encourage economic growth, "we don't need new burdens; we need moderate relief" on tax.
The center-left Social Democrats, currently Merkel's partners in a "grand coalition" of Germany's biggest parties that both sides hope to end in September, argue that the money simply isn't there at a time when the government is racking up record debt to tackle the crisis.
"We have at the moment an economic crisis that we have to fight; everyone knows that costs an awful lot of money, and we are seeing now that tax (income) is shriveling," Social Democratic general secretary Hubertus Heil said on Suedwestrundfunk radio.
"When the economy is back on its feet, we must consistently bring down new debt" and invest heavily in education, Heil said. "There is no room for tax gifts on a broad front."
Merkel's conservatives proposed cutting the lowest income tax rate gradually to 12 from 14 percent. They also want to raise the threshold at which the highest rate _ 45 percent _ kicks in to


Updated : 2021-05-15 17:37 GMT+08:00