Head of the economic wise men criticizes spd tax plan

head of the economic wise men criticizes spd tax plan

"Who raises taxes sends negative signals to the companies that create jobs. You can hardly encourage high performers to work harder and take more entrepreneurial risk if you’re also shilling for them," schmidt told the "rheinische post" (tuesday). "We have in the historical comparison with the highest tax burden, the taxes have increased in the ara (of chancellor angela) merkel more than the economic growth. I do not consider further increases to be appropriate in this situation."

Walter-borjans had suggested withholding just under half the income of top earners. As an example he mentioned a single with 750.000 euros in annual earnings. The top tax rate is currently 42 percent and applies from around 55.000 euro annual income. From a good 260.000 euro, the so-called wealth tax of 45 percent applies.

Schmidt, like the union and the FDP, called for taxes to be lowered sooner. "It is high time for a reform of the company tax, because many countries around us have lowered the taxes. Germany will be dragged down in international competition as a result," he said. He also reiterated his call for the solidarity surcharge to be abolished quickly and completely.