The head of the Chancellor’s Office, Thorsten Frei, expressed satisfaction with the financial agreement reached for the planned tax incentives for the economy. In an interview with the news channel “Welt”, Frei noted that the agreement ensures full compensation for the expected tax losses in the next four years, benefiting cities, municipalities and counties.
Frei also emphasized the positive outcome of the negotiations with the states, describing the agreement as “very good” for the next four years. He highlighted the goal of the investment booster, which is to lift the economy out of stagnation and towards growth, ultimately leading to higher tax revenues for the federal government, states and local authorities.
Frei believes that the special depreciation will have an immediate impact, not only on companies but also on citizens. He is convinced that the increased investments will lead to a growth in the potential of the national economy, resulting in higher tax revenues. This, in turn, will be felt by the public, both in the government’s actions and in the economy’s outcomes.
Frei considers the tax incentives a valuable tool to contribute to the country’s economic growth and he plans to ensure that the special depreciation does not remain a temporary measure, but instead becomes a part of a sustainable, positive economic development.