“There is a need for action to create more justice” Winkel stated, pointing to differences between taxation on large property holdings versus inherited businesses
CDU finance politician Olav Gutting anticipates a forthcoming debate on the issue, fuelled both by an expected ruling from the Federal Constitutional Court later this year and broader questions of fairness He defended the existing privileges for business assets, describing them as “fundamentally the right approach” while acknowledging the need for continued explanation Gutting suggested a flat rate for business succession as a potential reform, though cautioned that a rate of ten percent, as previously proposed, could place undue burden on businesses
However, the Social Democratic Party (SPD) is simultaneously increasing pressure for higher inheritance taxes Wiebke Esdar, Deputy Parliamentary Group Leader, characterized current regulations as unfair, highlighting privileges extended to substantial wealth The SPD aims to revise exemptions for business assets and critically examine tax avoidance strategies employed by foundations Esdar acknowledged that increased revenue from inheritance tax alone would be insufficient to address the significant budgetary gap facing the federal government, as the tax revenue flows directly to the states
Frauke Heiligenstadt, SPD finance spokesperson, emphasized the need for a fairer distribution of the tax burden, advocating for relief for low and middle-income earners and suggesting the possibility of increased taxes on the highest earners and largest fortunes
