(de-news.net) – Key elements of the Social Democratic Party’s (SPD) proposed reform of inheritance taxation have been outlined in greater detail. According to the party’s parliamentary deputy responsible for finance and budgetary affairs, the SPD seeks to replace the current framework—under which tax-free allowances can be utilized every ten years—with a model that permits private inheritances within families to be transferred tax-free up to a single lifetime exemption. Rather than resetting periodically, this proposed lifetime allowance would encompass and cumulatively account for all inheritances an individual receives over the course of their life. While the specific monetary level of this exemption has not yet been defined, the concept is intended to introduce a more comprehensive and transparent approach to taxing inherited wealth.

In parallel, the SPD plans to increase taxation on business-related inheritances, which under existing rules are often transferred entirely without tax liability. Party representatives argue that this preferential treatment contributes to the widening gap between wealthier and less affluent segments of society. From their perspective, principles of distributive justice require that high-value inheritances, particularly those involving substantial corporate assets, make a stronger contribution to the public good. The proposal has drawn criticism from the Christian Social Union (CSU), which has rejected the reform on the grounds that it would undermine economic initiative and penalize performance-oriented wealth creation.