Germany and Romania are both considering tax changes, but for different reasons. In Germany, the ruling coalition is exploring measures to stimulate the economy, which is expected to contract for the third consecutive year. These measures may include tax adjustments, alongside infrastructure investments and accelerated energy project approvals.
Vice-Chancellor Lars Klingbeil emphasized the goal of creating planning security for citizens and businesses. The coalition's proposals are expected to be adopted by the cabinet by mid-September, with some potentially becoming law as early as this summer.
In Romania, discussions are underway regarding potential tax increases to address the budget deficit. However, some financial analysts warn that new tax burdens could be detrimental to the private sector. They suggest that cutting spending would be a more effective solution than increasing taxes, which could lead to business failures and a larger shadow economy.