Germany’s Minister-President Warns Against Federal Tax Cuts at the Expense of States
Thuringia’s Minister-President, Mario Voigt of the Christian Democratic Union (CDU), has expressed concerns over potential tax cuts by the federal government at the expense of the states. In an interview with the “Redaktionsnetzwerk Deutschland”, Voigt emphasized, “An investment booster makes sense, but whoever orders it must also pay.”
Voigt stressed that if the federal government decides to implement tax cuts, the states should not be left to bear the resulting revenue losses alone. He pointed out that the coalition agreement includes the principle of interconnectedness, which demands a comprehensive solution rather than constant new negotiations. “Instead of questioning every decision, we need a fundamental solution that instills trust and creates momentum” Voigt said.
Meanwhile, Federal Minister of Finance Lars Klingbeil of the Social Democratic Party (SPD) plans to present his “Law for a Fiscal Investment Program to Strengthen Germany’s Economic Location” to the cabinet on Wednesday.