The Christian Democratic Union (CDU) and its Bavarian sister party, the Christian Social Union (CSU), are firmly resisting calls from the Social Democratic Party (SPD) for the abolition of the “Ehegatten-Splitting” system, a tax arrangement applicable to married couples and registered civil partnerships. Martin Huber, CSU General Secretary, stated in an interview with “Welt” that eliminating the system will not happen with the CSU’s involvement.
The Ehegatten-Splitting system combines the income of spouses or registered partners, divides it in half and calculates individual taxation as if each partner earned half of the total amount. This often leads to a reduction in the overall tax burden, particularly beneficial when there is a significant income disparity between partners. The system has faced criticism, with concerns raised that it can disproportionately benefit male partners earning higher incomes, potentially reducing the incentive for female partners to increase their work hours.
Huber argued against any changes, stating, “We need to provide relief, not impose burdens. Taxes need to be reduced, not increased”. He warned that abolishing Ehegatten-Splitting would be akin to raising taxes on families and cautioned that such debates create uncertainty amongst citizens while potentially bolstering radical political forces.
Fritz Güntzler, the CDU’s spokesperson for financial policy, affirmed the Union’s steadfast position, stating that abandoning the system is non-negotiable with the SPD. He referenced the CDU’s fundamental program, which explicitly safeguards Ehegatten-Splitting from questioning.
Güntzler defended the system, asserting that it shouldn’t be considered a privilege as suggested by the SPD, but rather a matter of fairness. He emphasized that marriage represents a community of support, with partners entering into mutual obligations that should be reflected in the tax system.
He also highlighted a ruling from the Federal Constitutional Court, which the CDU considers binding, stating it mandates equal taxation regardless of individual income levels. Güntzler maintains that Ehegatten-Splitting constitutes a permissible arrangement for achieving this principle of equal treatment and warned that abolishing it would negatively impact the financial situations of millions of households. He criticized the SPD’s repeated attempts to introduce changes, characterizing them as impolitic and potentially eroding public confidence by creating an impression of disunity between the governing parties.
