Corporate taxation, in general, is proof of the Groko’s tax policy’s inadequacy.
While President Trump’s reform started a new round in the international
competition for corporate investment, the draft coalition treaty does not provide
for systematic tax relief to strengthen Germany as location for private (real
Of course, the enhanced tax incentives for corporate
investment in digitalisation and for intensified R&D spending in SMEs are a
glimmer of light. A thorough corporate tax reform including a deregulation of
complicated rules as well as a reform of the local business tax is still to come.
The French-German initiative for harmonisation of the tax base (see above)
could be a step in the right direction.