The Minister of Economy for Saxony-Anhalt, Sven Schulze, is advocating for the exemption of businesses located in eastern Germany from inheritance tax. Speaking on the ARD program “Bericht aus Berlin” Schulze highlighted the often-limited capital base of companies in the eastern region compared to their counterparts in western Germany. He emphasized the need for continued support, particularly for small and medium-sized enterprises (SMEs), across the coming decades, prioritizing the retention of available funds within these businesses for investment.
Schulze characterized the current debate surrounding inheritance tax as misguided, noting that political discussions in Berlin are primarily focused on identifying new revenue streams. He argued that the nation’s challenge isn’t a shortfall in income, but rather an issue of managing expenditures.
Bavarian Minister President Markus Söder echoed Schulze’s concerns, also appearing on “Bericht aus Berlin”. Söder refuted the idea that inheritance constitutes “unearned income” stressing that inheritance tax is fundamentally about protecting property rights and safeguarding business assets. He cautioned that raising inheritance taxes would be counterproductive, potentially leading to businesses relocating and diminishing property rights, a position the CSU would firmly oppose.
During the same program, Schulze expressed solidarity with former Chancellor Angela Merkel’s criticism regarding the absence of an eastern German speaker at the recent national Unity Day celebration held in Saarbrücken. While acknowledging the value of having French President Emmanuel Macron as a guest speaker to emphasize European unity, Schulze suggested room for improvement in future observances.
