Rich Germans demand higher taxes

Discussion in 'Economics' started by Optionpro007, Oct 23, 2009.

  1. Rich Germans demand higher taxes
    Euro banknotes (file image)
    Germany could raise 100bn euros with the wealth tax, say the petitioners

    A group of rich Germans has launched a petition calling for the government to make wealthy people pay higher taxes.

    The group say they have more money than they need, and the extra revenue could fund economic and social programmes to aid Germany's economic recovery.

    Germany could raise 100bn euros (£91bn) if the richest people paid a 5% wealth tax for two years, they say.

    The petition has 44 signatories so far, and will be presented to newly re-elected Chancellor Angela Merkel.

    The group say the financial crisis is leading to an increase in unemployment, poverty and social inequality.

    Simply donating money to deal with the problems is not enough, they want a change in the whole approach.

    "The path out of the crisis must be paved with massive investment in ecology, education and social justice," they say in the petition.

    Those who had "made a fortune through inheritance, hard work, hard-working, successful entrepreneurship, or investment" should contribute by paying more to alleviate the crisis.

    The man behind the petition, Dieter Lehmkuhl, told Berlin's Tagesspiegel that there were 2.2 million people in Germany with a fortune of more than 500,000 euros.

    If they all paid the tax for two years, Germany could raise 100bn euros to fund ecological programmes, education and social projects, said the retired doctor and heir to a brewery.

    Signatory Peter Vollmer told AFP news agency he was supporting the proposal because he had inherited "a lot of money I do not need".

    He said the tax would be "a viable and socially acceptable way out of the flagrant budget crisis".

    The group held a demonstration in Berlin on Wednesday to draw attention to their plans, throwing fake banknotes into the air.

    Mr Vollmer said it was "really strange that so few people came".
  2. They're doing that here already in North America by debasing our currency. It's a far better way of hiding it but it's a wealth tax just the same.
  3. Umm sorry but debasing a currency is a defacto tax on the poor, not the rich. The rich benefit from inflation because they own assets. Inflation increases, not decreases the rich/poor gap.
  4. You forget most of ET is made up of dim witted right wingers. Most of these don't trade for a living. They're all retired on govt. option medicare and fart around with 100 share lots to pass time.

    Once the wealth gap gets too large, the wealthy effectively suffocate innovation by maintaining the status quo. No, "investing" in stocks of established corporations does not equal to innovation.

    Taxes on inheritance should be the highest.

    Taxes on investing in stocks and dividends should be in the middle bracket

    Taxes on entrepreneurs who start businesses that create more than 2 full time jobs should be effectively zero.

    The middle class making less than 100K should be taxed close to zero. They're the ones who keep the economy going and carry the burden of paying all the other hidden taxes in the system.

  5. German coalition agrees tax cut
    Seehofer, Merkel and Westerwelle in Berlin
    The centre-right coalition is set to take office next week

    German Chancellor Angela Merkel's conservatives have sealed a coalition deal with the Free Democrats (FDP) based on major tax cut plans.

    The deal between the CDU/CSU and the pro-business FDP paves the way for the coalition to take office next week.

    Income taxes will be slashed by 24bn euros ($36bn, £22bn) starting in 2011, according to the coalition agreement.

    The parties agreed to unite after the September general election in which the FDP achieved its best-ever result.

    They have also announced key cabinet posts.

    Marathon talks

    The coalition deal came in the early hours of Saturday morning after three weeks of bargaining.

    The burden on families has to be lessened, the burden on companies and inheritance tax has to be reformed
    Chancellor Angela Merkel

    Offering tax relief while balancing the country's ballooning deficit was the main sticking point for the two sides, as Germany struggles with its most severe recession since World War II.

    The final tax cut is less than the 35bn euros the FDP sought, but more than the amount Mrs Merkel wanted.

    "The burden on families has to be lessened, the burden on companies and inheritance tax has to be reformed," Mrs Merkel was quoted as saying by AFP news agency at the start of a press conference in Berlin.

    The partners had already forged compromises on a range of other issues, from healthcare to nuclear energy and foreign policy.

    Cabinet shuffle

    Mrs Merkel said Wolfgang Schaeuble would move into the role of finance minister after acting as the country's interior minister for the past four years.

    FDP leader Guido Westerwelle was named foreign minister.

    The party's deputy leader, Rainer Bruederle, is slated to become economy minister, replacing Karl-Theodor zu Guttenberg, who will take over the defence portfolio.

    Mr Guttenberg will have the task of overseeing an unpopular mission in Afghanistan and working towards an eventual exit strategy.

    The youngest minister in Mrs Merkel's cabinet will be the Vietnam-born Philipp Roesler, 36, who was named as health minister.
  6. Why not outright disown the rich? If I recall correctly the Germans have a history there :cool:
  7. And the poor are indebted and thus also benefit from inflation. They can pay back their loans with worthless paper money.
  8. If 44 rich Germans signed a petition demanding lower taxes, would it be worldwide news?
  9. Because you stupid idiot, their wages never increase at the same rate of inflation. What little money they have is squeezed by ever higher cost of living. You would know this if you didn’t spend all day watching Fox News and learning all the latest Republican one liners.