Wednesday, May 2, 2018

The 11-Billion Euro Story

As all the hype came up with BREXIT....virtually no one within the German government stood up to assess the cost factor after Britain left.  Well....the EU stood up today and announced the figure.  The story comes out of Focus (the German news magazine).

The extra amount due by Germany to the EU?  Eleven to twelve billion Euro.

I sat there for several minutes looking at the amount.  It's a heck of a lot.

The Merkel crew?  Well....just the warning here that they'd have to start this in two years....is enough to cause stress within the coalition.  You'd have to invent a new income tax rate, and go after commercial operations for a higher taxation deal.  Pushing the VAT up another two cents?  I would even go and suggest that the VAT in Germany will be affected by this situation. 

The timing of this?  Well....summer of 2019 is when the next EU election occurs, and one might guess that this taxation deal will become the number topic in that election throughout Germany. 

A major topic?  I would take a guess that within the next month.....this will move up to the top ten topics on public forums, and some Germans will be asking where the extra taxation will come from. 

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