Trade taxes: CDU and CSU want to support municipalities

The Union parties in the Bundestag, CDU and CSU, have presented a concept to relieve municipalities. In contrast to Finance Minister Olaf Scholz (SPD), the Union parties reject the assumption of old debts by the Federal Government. Instead, the trade tax levy that flows to the Federal Government should be paused for two years. It is also planned to strengthen municipal investments. A tax subsidy could possibly compensate for the municipalities’ losses that would result from tax relief for companies. The SPD, meanwhile, warned to reach a unity position. So far, there are “individual opinions”, the coalition party said.

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