Investors’ Protection Association Rejects Proposal to Tax Capital Gains on Health Insurance Premiums
The Investors’ Protection Association (SdK) has rejected a proposal by Federal Economics Minister Robert Habeck (Greens) to tax capital gains on health insurance premiums. According to the association’s chairman, Daniel Bauer, this would disproportionately affect middle-class workers who are already required to pay health insurance premiums based on their income.
Bauer pointed out that if capital gains are also subject to health insurance premiums, the premiums could exceed the assessment limit, resulting in an additional significant burden for these individuals. He emphasized that this would not lead to any improvements in healthcare, but would rather be a form of taxation on responsible financial planning.
The Free Democratic Party (FDP) also strongly criticized Habeck’s proposal, calling it a form of economic narrow-mindedness and social envy. “Habeck’s proposal shows that the Greens are willing to punish individuals for being responsible with their money and saving or investing it” said FDP parliamentary group vice-chairman Christoph Meyer.
Habeck had previously criticized the fact that capital gains are currently exempt from health insurance premiums, arguing that it is unfair that work is more heavily burdened than capital investments. He proposed making capital gains subject to health insurance premiums in order to broaden the basis of the statutory health insurance system and promote solidarity within the system.