Wednesday, May 19, 2021

Tax Story

 Focus put up a excellent talk over the Green Party tax program that is likely to come....if they win the September national election.

First, in their vision for the coming decade.....they say around 50-billion Euro needs to be 'invested'....so taxation of some type would have soak an additional 5-billion Euro a year.

The bulk of the tax increase?  The Greens would start to increase the basic income tax on the rich, and decrease small/medium income situations.

Example: Singles with 100k Euro income and couples with 200k income....a new top level tax rate of 45 percent.

If you made between 250k and 500k, the rate would be 48 percent. 

Getting this all passed?  It's a curious thing....you would have to go to the Federal Council level, where the sixteen German states have representation, and the bulk of their membership is CDU-CSU and SPD.  No one is that sure over how they'd react, or how the Green tax 'wave' would exist.

On tax evasion?  The Greens suggest that they want to bulk up and prepare for a more aggressive program.  

The chief problem though, if you examine all of this....the Greens probably won't be able to past 30-percent of the national vote (while this might be enough to win). So a serious problem with the coalition will occur.  Either a partnership with the CDU-CSU will happen, or a SPD-FDP deal will be worked out, and in either case....it's hard to imagine all of their tax ideas occurring.  

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