The SPD is going astray in terms of tax policy

Saskia Esken and Kevin Kuehnert

The SPD chairwoman and her general secretary are calling for more taxes for higher incomes.

(Photo: imago images/Future Image)

Berlin As if in a continuous loop, the SPD chairwoman Saskia Esken and her general secretary Kevin Kühnert are demanding more taxes for higher incomes – and on top of that a wealth tax. According to this logic, the tax evergreen of the party left should probably help in the upcoming state elections in Bremen, Hesse and Bavaria. But even common sense says: Higher taxes ultimately mean fewer SPDs in parliament.

Juicy tax increases are simply the wrong approach at a time when the Bundesbank is anticipating a winter recession. Citizens and business must, if not relieved, then at least not be burdened any further. According to the OECD, Germany is already a high-tax country. A higher top tax rate would weigh heavily on the tens of thousands of SMEs and artisans.

>> Also read here: SPD leadership is open to talks about tax increases

For entrepreneurs, income tax is corporate tax. Many have hardly coped with Corona and the energy prices. If the SPD and the Greens now want to saddle up even further, it will choke off all the momentum.

But not only the SPD wants the money of the citizens. Economics Minister Robert Habeck and Finance Minister Christian Lindner are also at odds over budget financing.

Now Olaf Scholz has intervened. So there is hope that the Chancellor, who is well versed in financial policy, will not only put the brakes on his own people, but also on Robert Habeck.

fleeced

10.9

billion euro

cold progression cost the middle class last year.

Above all, he should counteract the myth that society can be pacified by only fleecing “those up there”. At least that’s what everyone in the country who pays the top tax rate on a salary of 58,597 euros hopes for.

The hard-working middle class would then be cashed in twice by the tax state. According to an Ifo study, the cold progression already cost society 10.9 billion euros last year. The state is the big beneficiary of inflation, working citizens continue to be excluded.

Ms. Esken and Mr. Kühnert should rather focus on the social budget. Germany now has a state quota of almost 52 percent. That’s when Helmut Kohl started socialism.

You could also create a cross-off list for the bloated state. Every project needs a funding pot and a lid on top. But the SPD left is silent, although they should be talking here.

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