Germany reduces taxes from 1 January next year

New government will reduce from 1 January taxes paid by businesses and households. This was announced Chancellor Angela Merkel, who presented the new coalition agreement between her Christian Democratic Union (HDZ) and the smaller coalition partner, the Free Democratic Party – the Liberals, police AFP. The coalition agreement provides for the reduction of taxes by 24 billion euros for the four-year parliamentary term, reform of the financing of health care, reduction of compulsory military service from nine to six months.

„We will reduce taxes for households will also reform the tax and business tax on inheritances,“ said Merkel in a joint news conference with the leader of the Liberals Vestervele Guido, future vice-chancellor and foreign minister.

Then, in 2011, will begin tax reform in order to be simplified and made more fair, chancellor added. This was one of its election promises, AFP points, cited by BTA.

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Finance