Open debate about two laws from the traffic light coalition. The accusation: The Greens are slowing down on a project by the FDP finance minister, who in turn is slowing down on a concern from the SPD and the Greens.
A new dispute has broken out in the traffic light coalition over projects that were actually planned together. It is about the question of up to what level of income contributions for health and social insurance will be due in the future – and about the adjustment of tax rates to inflation and the subsistence level.
Finance Minister Christian Lindner accuses the Greens of blocking his plans for tax relief. “The Greens should show respect for taxpayers. The blockade of current tax laws declared yesterday should be abandoned,” wrote the FDP leader on X.
According to Lindner’s plans, the so-called basic allowance – i.e. the part of income that is not taxed – should increase by 312 instead of 300 euros next year, to 12,096 euros. The following year it should be 12,348 instead of 12,336 euros. The basis is calculations on the effect of high inflation and the subsistence level in Germany.
The first parliamentary managing director of the FDP parliamentary group, Johannes Vogel, also criticized the Greens’ stance: If the compensation for the cold progression is not decided by the Bundestag and Bundesrat by the end of the year, “taxes for millions of people would be increased through the back door,” said he in Berlin. “We must not allow the state to benefit from wages that have risen with inflation and thus de facto make people poorer. Instead, we must relieve the burden on people.”
The Greens, in turn, called on Lindner to give up his resistance to an increase in the so-called contribution assessment limit presented by Labor Minister Hubertus Heil (SPD). In the “Bild” newspaper, Lindner said: “As long as there is no clarity that we are freeing taxpayers from the cold progression, there can be no adjustment of the assessment limit for social contributions.”
According to Heil’s plans, social insurance contributions will in future also be due for higher monthly incomes. More precisely: in statutory pension insurance up to a monthly income of 8,050 euros and in statutory health and nursing care insurance up to a limit of 5,512.50 euros per month. The limits are currently significantly lower. Anyone who earns more does not pay any contributions on the income above.
Green party leader Britta Haßelmann warned that health insurance and social security contributions must be clear and predictable for employees. It is therefore now necessary “for Finance Minister Christian Lindner to finally give up blocking the regulation on the contribution assessment limit”. There’s been a fight about this for weeks. Clarity must be established quickly “so that lower and middle income earners don’t end up having to expect higher contributions.”
The deputy Green party leader, Andreas Audretsch, also criticized Lindner. He said: “Yesterday evening he approved the regulation on the contribution assessment limit, today he is withdrawing his approval – that is not reliable governance.”