Finance Minister Olaf Scholz rejects Altmaier's Billions Plan



Federal Finance Minister Olaf Scholz

  Federal Finance Minister and Vice Chancellor Olaf Scholz (SPD) has rejected the plans of Minister of Economics Peter Altmaier (CDU) for a billion relief of German companies. There are already a number of important measures, from the relief package for families on contribution cuts in social contributions, especially for low earners to the heavy tax relief on the solidarity surcharge to 2021, said Scholz on Friday on the sidelines of the annual meeting of the International Monetary Fund (IMF) in Bali.

  "These are the things that the government has set itself, and it will stay that way," said Scholz. He rejected Altmaier's proposals, which are not in the coalition agreement.


On the other hand, Altmaier wants to massively relieve companies in Germany in the face of a deteriorating global economy. In an "economic action program" he proposes, among other things, to completely abolish the solidarity surcharge. In addition, depreciation conditions should be improved. If fully implemented, companies in Germany would pay a total of 20 billion euros less in taxes per year.


Without the consent of the coalition partner SPD measures that are not part of the coalition agreement are difficult to implement. In return, for example, the Union is blocking Scholz's intention of securing the pension level at current levels by 2040.

  With regard to Altmaier's initiative, Scholz emphasized that it was agreed that the companies would be relieved of the burden of promoting research. "We want to get that on the way." Germany has "a very modern corporate tax law". That was at the time Chancellor Gerhard Schröder (SPD) on the way. And in the case of solos, 90 percent of those who pay him today would not have to pay this amount in 2021 – that alone would cost around ten billion euros per year and would be the most important tax relief for the government.

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