Bundeskanzler Friedrich Merz (CDU) rejected the proposal to raise taxes once more during Tuesday’s session of the Union parliamentary group. “Of course we agreed in the coalition agreement that we would do something tax‑wise” he told participants, quoting the “Rheinische Post” (Wednesday edition) which reported that the CDU chairman said, “but it has to come with relief, not a burden”.
Merz added that this was the arrangement they reached. “I am looking forward to the suggestions that come from the Federal Finance Minister. The income groups he mentions are currently the least affected by the income tax” he said. “There isn’t much left to relieve there”. Nevertheless, he noted that a lot can still be done regarding social security contributions for these groups.
The German leader stressed that the key coalition decisions now have to be made from Easter until the summer holidays. “When the year is over, we have completed half of the parliamentary term” he said. “Experience shows that during the second half of a term you can’t get much done”.