Investment package
Talks on relief for the municipalities for the time being without any result
A compromise should stand by Tuesday: How does the BUND imposes burdens from the countries and municipalities through the investment package? But there is still no solution.
The federal government and countries continue to struggle to have a financial cushion of the planned investment program for the economy. A round of negotiations by Finance Minister Lars Klingbeil (SPD), Minister of Chancellor Thorsten Frei as well as several prime ministers and country finance ministers ended in the evening without compromise. According to information from the German Press Agency from government circles, it is to be spoken again on Monday evening.
At the goal, the federal and state governments continue to agree that the law must come to set growth impulses and investment incentives to boost the economy and secure jobs.
In addition to Klingbeil and Frei The Saxon Prime Minister Michael Kretschmer (CDU), Lower Saxony Prime Minister Olaf Lies (SPD), Bavaria’s Prime Minister Markus Söder (CSU) as well as the finance minister of Rhineland-Palatinate, Doris Ahnen (SPD) and the finance minister of North Rhine-Westphalia, Marcus Optendrenk (CDU).
Countries require compensation from the federal government
It is about a package of tax relief package for the economy, which the Bundestag is to decide on Thursday. It contains incentives for investments, including extended tax depreciation options for machines and electric vehicles. From 2028, corporation tax should also decrease.
However, the plans would bring loss of income for the federal, state and municipalities due to falling taxes. The federal states require a financial compensation from the federal government, especially for the sometimes highly indebted municipalities. In principle, the federal and state governments had already agreed last week that there should be a form of compensation. The details should be negotiated by Tuesday.
dpa
Source: Stern
I have been working in the news industry for over 6 years, first as a reporter and now as an editor. I have covered politics extensively, and my work has appeared in major newspapers and online news outlets around the world. In addition to my writing, I also contribute regularly to 24 Hours World.
