The SPD had proposed for 2021 planned reduction in the solidarity surcharge for 90 percent of the payers in this summer, to abolish, to demand and to boost consumption.

If the Finance Minister Olaf Scholz (SPD) to Finance without creating new debt, and the technical problems of a transition to a mid-year could solve, speak not mind, said the budget policy spokesman of the CDU/CSU parliamentary group, Eckhardt Rehberg (CDU), the “Frankfurter Allgemeine Sonntagszeitung” (F. A. S.).

The policy is to strengthen the action of the consumer to absorb the financial burden of the Coronavirus.

abolition brings citizens of 5.5 billion Euro.

so Far, it was planned to remove the solos from the year 2021 for approximately 90 percent of the taxpayers. A further 6.5 per cent to pay him only partially, remaining roughly 3.5 percent of high earners, however, remain fully. This would relieve the citizens of around five billion euros.

The Soli was introduced as a special tax, especially for the development of Eastern Germany after the reunification. He is 5.5 percent of the corporate income tax and personal income tax. The total revenue amounted, in the year of 2018, to just under EUR 19 billion.

simpler introduction of short-time working planned

The coalition is also considering to relax the rules on short-time working. SPD-Chef Norbert Walter-Borjans, of the language in the “Interview of the week” of the German radio station Deutschlandfunk of a possible longer duration of short-time working money. Minister of labour, Hubertus Heil (SPD) said the “Stuttgarter Zeitung” and the “Stuttgarter news”, “we will facilitate the use of the instrument in periods of weak economic activity”. The money was enough: “The reserve of the Federal employment Agency is to grow to 26 billion euros.” According to “Handelsblatt”information to extended short-time working rules from the times of the financial crisis of 2008/2009, which could again be in force.

so Far, there is short-time working money, if at least a third of the workforce of an establishment of considerable work, is failure of affected. This threshold could be lowered to ten percent. In conversation, therefore, is also to relieve companies with short-time working social security contributions.

If companies send in difficult times, your employees in short-time work to cancel, instead you pay to the state, under certain conditions, 60 percent, among workers with children to a maximum of 67 percent of the failed net earnings to the employees. During the financial crisis, the employer had closed the remaining gap itself.

Before the coalition summit, the CDU, CSU and SPD on Sunday evening, they signaled again support. “The employers have shown in the past for various challenges that we are part of the solution,” said the chief Executive of the Confederation of German employers ‘ associations, Steffen Kampeter, the German press Agency.

A scheme to short-time work would, in the view of CSU leader Markus Söder, in addition to possible guarantees or Tax deferrals “very important”. “That is not necessary, in order to avoid significant damage to the German economy,” he had the dpa said.

From the trade unions and associations came before the coalition meeting different demands for support. The German Association of cities has called for the establishment of a relief Fund for local businesses. The German trade Union Federation (DGB) called for an “extensive investment in the future program” and easing the financial burden of local authorities in debt.

The Federation of German industries (BDI) called for tax relief, the complete removal of the solidarity surcharge, and a start-up state and private investment. Necessary an Anti-crisis package, the eindämme the uncertainty and new trust, whether the BDI-managing Director Joachim Lang of the “F. A. S. said”. The economy is 50 percent psychology. Is discussed about the so-called bridge loans, to help companies in the short term financially.

Reform of corporate taxes is likely to be Spoken on the Agenda

the coalition Committee, moreover, a Reform of the corporate tax and measures against the high electricity prices and an acceleration of planning procedures in the transport and digitization of the area.

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