‘I’ll tax rich Germans more’:
Germany’s Social Democrats (SPD) said on Monday they would tax the rich more and low earners less, making a play to win back workingclass voters as the party seeks to revive a flagging election campaign.
SPD leader Martin Schulz hopes to unseat Chancellor Angela Merkel in the Sept 24 election, but the centre-left party has lost momentum in the polls since making gains following his nomination in January.
“We’ll reduce the tax burden for small and medium-sized incomes and we’ll support families,” Schulz told reporters.
“Our proposal is good not just for Germany but also for Europe,” he said, adding it would help stimulate domestic demand and suck in more imports from other European countries.
Schulz said the SPD would increase Germany’s top income tax rate to 45 percent from 42 percent, while lifting the threshold from which the rate applied to 76,000 euros ($85,000) from around 54,000 euros.
The SPD, currently the junior partner in Merkel’s ruling coalition, would also raise the special income levy for those earning 250,000 euros or more to 48 percent from 45 percent. (RTRS)