
Cancelliere tedesco Friedrich Merz pianifica € 46 miliardi di agevolazioni fiscali delle società per aumentare l’economia
https://www.businesspost.ie/article/german-chancellor-friedrich-merz-plans-e46bn-in-corporate-tax-breaks-to-boost-economy/
di ApresMatch
44 commenti
Of course corporations get tax breaks… How about people get tax breaks which they use to purchase items produced by corporations which actually boosts the economy.
Tax breaks for corporations just means increased profits and even bigger shareholder payouts.
Ah yes, ye olde let’s give billions in tax breaks to businesses so they can give huge pay raises to the C-Suite, stagnate wages for the workers, ship production to lower income countries so the increased earnings can be converted into stock dividends for the wealthy.
I mean, just look at how well those trickle-down “Reaganomics” worked in the USA. Worked so well their citizens now have to pay tariffs on top of their double taxation income *and* sales taxes to pay for it all.
…
How about tax-breaks to low- and middle-class instead? They would pump that money right back in to the economy.
Breaking news! German corporations are €46bn richer. No new jobs were created.
Probably not the worst idea in Germany right now. Gotta stop the de-industrialization that has been going on for the past few years. Especially now with Trump going all trade war on Europe.
Edit: The comment section here is so full of Reddit brain that doesn’t understand economics at all. The classic.
Like a reverse Robin Hood!
😄
Sure, that will make a few CEOs very happy… Nice bonuses coming their way…
They can’t be that stupid, right?
They are Germans, they are smart. They wouldn’t do auch stupid thing that everyone knows not going to help… Unless they really want to fast track their neo-nazi into power.
Not all tax breaks are equal.
This is stuff like deductions for new equipment and new electric vehicles. Tax breaks on R&D expenses. Tax breaks which are specifically tailored to boost production instead of boosting CEO paychecks.
Giving money to shareholders is not gonna boost the economy. Giving money to people might.
The right wing never changes.
Ah yes, it has worked so well in France (spoilers, it didn’t).
This is how you guarantee parties like AfD stay popular over then next decade or so. And probably gain in popularity. Keep squeezing the middle and working classes in order to give tax breaks to the rich. Have centrist idiota learned f*cking nothing from the last decade and a half or so of austerity?? How is neoliberalism still a viable political and economic project in 2025? Oh right, because it just so happens to benefit the rich
Merz will have to accept that the German export based economy has reached its limit. China is replacing all German import with own production and the US is no longer willing to take any the German exports either.
If they want to avoid the closures of factories, they’ll need to boost German consumption of their locally produced goods. This means giving the money to consumers and incentivizing them to buy European.
Giving this money directly to the companies is just throwing money down the drain.
Ah, there he is the former BlackRock manager.
Paywall, so I’m using another news report on the government’s tax plans: [Source](https://www.merkur.de/wirtschaft/so-will-merz-regierung-steuern-senken-entlastungen-ueber-jahre-93762994.html)
“Federal Finance Minister Lars Klingbeil (SPD) is apparently already planning extensive tax cuts for companies. … The relief is to be spread over several years and increase to 17 billion euros by 2029.”
“In detail, it is about the so-called investment booster, the reduction in corporation tax and new depreciation options for electric vehicles. The investment booster provides for special depreciation for investments in 2025, 2026 and 2027.”
“This will be followed by a reduction in corporation tax. The tax rate is to be reduced from 15% to 10% in five stages by 2032. There are also plans to make the research tax allowance more “generous”. A special depreciation allowance is planned for companies that purchase electric cars: A write-off of 75 percent is to be possible in the year of purchase.”
” “Over the past 15 years, Germany has become a high-tax country for companies,” wrote the Wirtschaftsdienst newspaper in 2024. The high tax burden leads to direct disadvantages in the international competition between locations. Simulation calculations had shown that tax cuts would lead to a “noticeable upturn”, particularly in private investment.”
“An OECD report shows that the average tax burden for companies in OECD countries is 23.6% (as of 2023), while EU countries excluding Germany levy an average tax rate of 21.1%. In Germany, the tax burden on corporate profits is around 30 percent (DIHK).
The business newspaper referred to earlier developments: Reforms in 2001 and 2008 had already succeeded in narrowing the gap with other OECD countries.”
corporations dont spend money,
citizens do. Corporate profits end up in overseas bank accounts
I think he misspelld lineing their pockets
Trickle down economics hasn’t worked for 40 years. Maybe it’ll work for the next 40. Who knows? 🤷♂️
So like, I have been complaining lately that I pay nearly 45% of my income in taxes without VAT or anything else counted in.
This is such a great way to tell me that leaving Germany is the right decision!
Here we go again… and don’t forget to increase taxes for working class, because corporate tax breaks should be compensated somehow…
Fuck Merz.
Corporations and rich people benefit, poor people are suffering even more.
Which expenses will be cut to finance the task break? Health care, education, defense?
Or will it mean more tax elsewhere.
Crony capitalism Europe edition.
Boost economy my ass. He’s giving money to his corporate buddies and we are explaining it away by saying it will boost economy when there have been many many many examples to show us that it does jack shit for us to cut corporate taxes.
Ah yes, austerity measures here we come. The hyper richer get richer and the rest of us deal with less doctors available, worse conditions for public transport etc. Yay, UK living standards here we come.
FFS, are we still doing this trickle down bullshit?
Ronald Reagan died 20 years ago.
46bn tax breaks in germany while Finland get harsh cuts all around while their bad situation comes from outside of their borders
I’m sure that corporates don’t get taxed on expenses, a.k.a increasing salary, investment in R&D, purchases equipment, etc.
More tax breaks mean more incentives to cut on expenses.
Don’t worry, it will trickle down. The bad side, it’s diarrhea.
deutsche politiker und logik, sind so ein gutes paar wie Uranium und Nutella
Conservatives attempt corporate tax break for the 8 millionth time, hoping that this time it will boost the economy for realsies.
All that means is higher corporate profits for the shareholders, and still terrible prices for the people.
I’m growing increasingly disillusioned with the idea that democracy, as it currently exists, serves the people. In practice, it appears less like a system of equal representation and more like a modern form of feudalism, Just with extra bureaucratic layers. The power dynamics haven’t changed as much as we’ve been led to believe; they’ve just been rebranded.
Billionaires and corporate executives function as the new royalty. Untouchable, immensely powerful, and able to shape society from the top down. Millionaires and high-ranking politicians act as the nobility, managing power on behalf of the elite and maintaining the status quo. Celebrities fill the role of aristocrats, serving as cultural distractions or mouthpieces that glamorize the system while reinforcing the same hierarchies. And the vast majority of us—ordinary citizens—are little more than peasants, excluded from real influence and left to bear the consequences of decisions made far above our heads.
It seems that anyone who is genuinely electable must already be aligned with the interests of the wealthy and powerful. And those who attempt to challenge the system—who advocate for fairer wealth distribution, better living conditions for all, and accountability for the elite, are quickly labeled as radicals, extremists, or worse. They’re often lumped in with genuinely hateful ideologies like white supremacy or fascism, not because they share those beliefs, but because they dare to imagine a different structure. One that threatens the privileges of those in control.
This kind of political gaslighting silences necessary conversations and reinforces the illusion that any critique of the current order is inherently dangerous or irrational. But from where I stand, what’s truly dangerous is continuing to call this system a democracy when its outcomes so consistently serve only a few.
Meanwhile the middle class in Germany is getting crushed by taxes and social security fees.
But well, elect a BlackRock Manager get a BlackRock Manager.
Give me a tax break, I’m fucking drowning in taxes. Fuck!
Its not just corporate tax breaks, for the next 3 years companies, specifically in the industry sector get a 30% discount on investments which is generally seen as a good method for making companies invest and get more productive.
I dont think this is all that bad of a package.
Once again the German people are surprised that when you vote for the same old right-wing shit year after year, you get right wing shit.
Well, better try even further right wing shit next time with the far right AfD! Maybe this time it will work!
The ducking definition of insanity is the modern voter…
But dont forget, we need to start learning to work more again! We have become so lazy that the population made a record amount of extra hours last year!!
Fuckin hell… give it to the people, not the corporations. All that history to learn from and he hits the Replay button.
I’ve read in school some 20 years ago that this “trickle down” economics bs doesn’t work. It never has.
SO, the resulting loss of tax revenues are going to be covered by an increase in the federal budget deficit and debt or by an increase in general taxation?
Given the CDU attitudes to fiscal responsibility in the past, I already have placed my bets.
To also add something positiv here. The more money companies have to work with, the more they can reinvest the more they can sell the more people they can hire or the less the need to restructure by getting rid of people. In theory
Good, good. Higher profits for the rich.