In the debate over a tax reform, SPD politicians are also calling for a heavier burden on high earners and for tax increases, a stance that meets resistance from the Union. In an interview with “Bild” (Tuesday edition), Dirk Wiese, the parliamentary managing director of the SPD’s Bundestag faction, said: “We have firmly agreed on a tax reform that focuses on small and medium‑sized incomes. It also makes sense to keep the top tax rate out of play for the time being, while intensifying the taxation of very high incomes”. He did not specify at what income level the top rate should rise.
SPD finance spokesperson and MP Bettina Hagedorn urged the Union and CDU general secretary Carsten Linenmann to submit proposals for compensating the tax relief for modest earners. “We agree that we want tax cuts for the working middle” Hagedorn told “Bild”, “but we need a counter‑financing plan. That is precisely what Carsten Linenmann is not offering”.
Steffen Bilger, the parliamentary managing director of the Union’s Bundestag faction (CDU), warned the SPD against higher taxes. “We do not want tax increases. That was the agreement in the coalition” he said. “Instead we are focusing on targeted tax cuts for people, for our economy, for our country. We have successfully implemented the first agreed relief measures, such as for agricultural diesel and the gastronomy tax. The next step is to ensure that small and medium incomes benefit substantially, and that should be put into practice quickly”.