Federal states have raised concerns that the planned reduction of the air traffic tax, effective July 1st, could significantly impede necessary transportation infrastructure investments. Consequently, the states are rejecting the idea of covering the projected tax revenue shortfall of 1.5 billion euros through the budget of Federal Transport Minister Patrick Schnieder (CDU) until 2030. This opposition was reported by the “Rheinische Post” citing recommendations made by committees for a recent Federal Council meeting.
According to the submitted recommendation, the Federal Council argues that the allocation of funds must actually increase, rather than decrease, to secure vital investments in future-proof transportation infrastructure and technologies. The states emphasize that any resulting loss of revenue must be offset by generating funds through other means.
While the coalition’s draft law proposes that Minister Schnieder save approximately 350 million euros annually starting in 2027, the states welcome the tax reduction itself. However, they firmly insist that further measures must be adopted to maintain the competitiveness of German aviation enterprises and guarantee international connectivity for both the economy and the population.
