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Klingbeil Keeps Higher Taxes on the Wealthy on the Table in Germany's Budget Fight

He points to a 2027 funding gap to finance pledged relief for lower earners.

Unions-Fraktionschef Jens Spahn (l) diskutiert mit SPD-Chef Lars Klingbeil im Bundestag
Lars Klingbeil
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Finanzminister Klingbeil (SPD) fordert konkrete Spar-Pläne von seinen Minister-Kollegen.

Overview

  • The finance minister said no option is off the table for taxing very high incomes or wealth, with inheritance tax changes also reported to be under consideration.
  • The SPD links possible new revenue at the top to funding mid‑term tax cuts for small and middle incomes promised in the coalition agreement.
  • Handelsverband Deutschland chief Stefan Genth argued that higher taxes would massively brake consumption.
  • CSU leader Markus Söder declared there will be no tax increases with the CSU, while CDU figures offered a more equivocal line, including Jens Spahn saying now is not the time to even consider hikes.
  • No detailed legislation or designs have been presented, and the clash remains political positioning as a roughly €30 billion shortfall in 2027 is reported.