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German gov't agrees to largely abolish 'solidarity' tax
It was introduced to fund cost of reunification 30 years ago
21 August, 15:00
(ANSA-AP) - BERLIN, 21 AUG - Germany's government has agreed
to largely abolish a tax designed to fund the cost of German
reunification 30 years ago.
Cabinet agreed Wednesday to end the 'solidarity charge' that
about 90% of taxpayers, including companies, currently have to
pay. From 2021 onward only high-earners will have to pay the
tax, which generated almost 19 billion euros ($21 billion) last
year.
German Chancellor Angela Merkel's center-right Union bloc
wants the complete abolition of the tax, noting that the money
generated goes into the general tax pot and isn't directly
earmarked for spending in the former East Germany. (ANSA-AP).
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