Economy for 2024
Bavaria does not believe in Lindner’s tax relief
Status: 01.04.2024 | Reading time: 2 minutes
Lindner announces tax relief for working people
Finance Minister Christian Lindner has announced tax relief for the working population. Specifically, he wants to increase the basic allowance for wage and income tax. He is currently preparing the law for this. The increase should also apply retroactively.
The CSU has long been calling for the traffic light to reduce the tax burden. But after Federal Finance Minister Christian Lindner announced exactly this, doubts about its implementation were raised in the south.
Bavaria’s Finance Minister Albert Füracker (CSU) does not believe that the tax relief announced by Federal Finance Minister Christian Lindner (FDP) will be implemented. “Unfortunately, it remains to be feared that this announcement by the Federal Minister of Finance is another relief placebo. He cannot or does not want to assert himself in his traffic light coalition,” Füracker told the German Press Agency in Munich. He was reacting to Lindner’s statement that he wanted to provide tax relief for millions of citizens this year.
Albert Füracker (CSU)
Source: dpa/Sven Hoppe
“Bavaria has been demanding for years that normal working people should finally be relieved. Work and performance must be worth it again,” Füracker continued. The increase in the basic allowance for wage and income tax, as Lindner has now brought into play, has been an emphatic core Bavarian demand for a long time. “Even with the cold progression, we have been opposing tax increases through the back door for years. Our tariff on wheels would finally solve the problem – but here too the federal government lacks the will to really solve the problem.” In the proposed tax tariff on wheels, the levy is automatically linked to inflation.
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In an interview with the German Press Agency at the weekend, Lindner spoke out in favor of a retroactive increase in the basic allowance for wage and income tax: “We are preparing that in the legislation. This means that there will also be further tax relief for the working population in the current year.” Lindner also promised changes to income tax for 2025 and 2026. Then the so-called cold progression must be balanced out again.
Budget discussions for 2025 are currently underway in the federal government. Financial leeway is tight: there is a gap in the double-digit billions that needs to be closed, even without tax relief.