FDP rejects tax increases

Household - FDP rejects tax increases

In the budget crisis, the FDP has rejected tax increases. Johannes Vogel, deputy chairman of the FDP, told the German Press Agency: "Tax increases are not only rightly ruled out in the coalition agreement, they would also be exactly wrong for our competitiveness - because Germany is already a high-tax country. Instead, we must provide even greater relief for the middle class and companies, as agreed."

Following the Karlsruhe budget ruling, SPD leader Lars Klingbeil has questioned agreements made in the coalition agreement. The decision by the SPD, Greens and FDP not to increase taxes is under scrutiny, Klingbeil said.

The traffic light coalition is struggling to decide how much money the federal government can spend in the coming year. This is because the Karlsruhe ruling has torn gaps worth billions in the budget for 2024 as well as in a fund for modernizing the economy and for climate protection.

Topic of the debt brake

Vogel, First Parliamentary Secretary of the FDP parliamentary group, also spoke out against suspending the debt brake again next year due to an emergency - as many in the SPD are demanding. Vogel said that this does not seem legally possible, at the latest after the statements of the Federal Constitutional Court.

"But it would also be politically wrong - just like a fundamental softening of the debt brake, as the majority of the Union Minister Presidents want. The debt brake has just been strengthened by the ruling from Karlsruhe." Weakening the debt brake in response to the ruling or increasing taxes is out of the question for the Free Democrats.

Vogel emphasized: "The state does not have a revenue problem, but it must now prioritize more clearly, realize the need for reform and use the resources at its disposal accurately. We must and can make savings and pursue more effective policies with less money."

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1. Despite the budget crisis, the SPD and its coalition partners, the Greens and FDP, have agreed not to increase taxes, as stated in the coalition agreement.
2. Lars Klingbeil, leader of the SPD, has expressed concerns about the financial implications of the Karlsruhe budget ruling, which has created gaps in the budget for 2024 and funds for modernizing the economy and climate protection.
3. In response to the financial challenges, the traffic light coalition is deliberating on how much money the federal government can spend in the coming year.
4. Johaness Vogel, deputy chairman of the FDP, has expressed opposition to suspending the debt brake again due to an emergency, saying it's not legally possible and politically wrong.
5. The Karlsruhe ruling has strengthened the debt brake, making any weakening of it or tax increases unlikely for the Free Democrats.
6. Vogel suggests that the state should prioritize more effectively and utilize its resources efficiently instead of relying on tax increases or weakening the debt brake.
7. The budget crisis is not solely a revenue problem for the government but rather a need to prioritize expenses and reforms more effectively.
8. The FDP, one of the parties in the traffic light coalition, rejects tax increases as they believe Germany is already a high-tax country, and competitiveness would suffer.

Source: www.stern.de