Germany agrees corporate tax cuts to 'stimulate' economy – DW – 08/29/2023
Germany agrees corporate tax cuts to 'stimulate' economy – DW – 08/29/2023
Europe's largest economy has flatlined recently, showing no signs of recovery from a winter recession. The International Monetary Fund has predicted Germany will be the only major advanced economy to shrink in 2023.
Sigh. More importantly, they're not structured in such a way that they only benefit small and at most medium companies, they apply more or less across the board, which automatically makes the giant megacorps the biggest winners as they can pay the people to figure out how to best exploit this.
If anything, they should have funded tax breaks to small companies on the backs of VW or Vattenfall or Rheinmetall, or ideally their CEOs and stockholders directly. Fleece the ones who do nothing good, nevermind with their money.60Vattenfall? Like the swedish state-owned supplier of hydropower? That Vattenfall?
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-4Tax increases are passed on to the people. Tax cuts are passed on to the wealthy. I'm American so I should know.
13People are already paying for these costs increase, so the companies will pocket the tax cut and tout their record profits.
As we've seen after the pandemic when the inflation was soaring, companies rose their prices to keep their margin as they were instead of taking a hit on their profit.
Under the current state of capitalism, if a company isn't making the maximum profit, that company is failing.
6People are already paying for these costs increase, so the companies will pocket the tax cut and tout their record profits.
As we've seen after the pandemic when the inflation was soaring, companies rose their prices to keep their margin as they were instead of taking a hit on their profit.
Under the current state of capitalism, if a company isn't making the maximum profit, that company is failing.
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Here we go again. Germany is about to get fucked by corporations like the US.
49Germany has been fucked by corporations for a long time already. Some people have been working on making us USA 2 for decades now.
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Why always fucking corporate tax cuts? How about people tax cuts? You know, when people have more money, they spend more. Thus giving more money to the corporates as well.
48:Looks at massive increase in consumer spending due to Covid Stimulus and College loan payment moratorium.:
Lets do that trickle down shit again, it’s gotta work this time.
12You'll be taxed 40% and you'll be happy about it.
12I mean, I'm already taxed 15% on income tax, another 11% on social and health security, then whenever I buy anything, 21% of the price is tax (so if I spend all my income every month, it was basically another 21% of income tax). Petrol has another tax extra (don't know how much). When I bought a piece of land I paid another 4% as a tax (and I still had to pay for all administrative tasks like changing the owner in the registry). And I pay tax for owning the land every year. I'm pretty sure I forgot some tax.
I think I'm well over 40%. Not quite happy about it, though.
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Why would the corporations bribe the legislature to pass a law that benefits people, or helps the economy? They just want to hoard their wealth. Okay?
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1When people have more money and spend more money we have inflation. Didn't you have enough inflation already?
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It didn't work for America, but okay
22Wdym? It can trickle down any minute now, you just gotta be patient
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Every corporate tax cut is a duck you too small business.
20And it doesn't do shit to stimulate the economy. They just buy back all their own stock, hoard their money, and pay people off anyways, while raising their prices. We already saw this whole thing play out multiple times already.
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Another dump on the pile of shit that this country is becoming
11Becoming? Were you asleep for 20 years?
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It looks like Germany is evangelizing the gospel of Supply Side Jesus: https://www.beliefnet.com/news/2003/09/the-gospel-of-supply-side-jesus.aspx
6This is coming from Scholz?? The leader of the SPD??? Sounds like someone got paid.
6This is the best summary I could come up with:
While Germany's coalition parties have hesitated over the extent of the country's tax cuts, the economy has remained static.
The conflict has seen German energy prices surge, after Berlin's reliance on Moscow for gas was brought to a halt.
"We'll discuss how to achieve a big boost," Chancellor Olaf Scholz said at the start of a two-day cabinet retreat at Schloss Meseberg, a baroque castle outside Berlin.
The tax cuts are part of a 10-point program and intended to kickstart economic growth whilst making sure companies made the decision to invest in Germany, Scholz said.
The plan includes a premium for energy-saving investments, as well as rule changes to make it easier for companies to write off losses.
As Germany boosts spending, some critics fear that without a new European Union green fund, only larger economies with more fiscal power will be able to push ahead with national subsidies, leaving smaller countries behind.
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