Wealth Tax Latest Rift in German Coalition As Recession Looms

[50 shades of black + 254]

Taxing the wealthy is becoming the latest sign of how Chancellor Angela Merkel’s already-frail coalition is drifting apart, adding to the political turbulence as the economy teeters on the brink of recession. The Social Democrats, Merkel’s junior coalition partner, on Monday are expected to back a proposal that would aim to impose a 1% tax on wealth, a revenue stream that could be worth around $10 billion annually. There are too much power and wealth centralized in too few hands. Obviously, it's time to spread it around...
 

[Pavel + 384]

Tiny, tiny tax on billionaires and millionaires probably lower rate than super-rich of New York City pay! “Social Democrats, Merkel’s junior coalition partner, on Monday expected 2 back proposal aimed 2 impose 1% tax on wealth, could be worth around $10 billion annually..."

[50 shades of black + 254]

Technically not a recession yet...  ( I think they had one-quarter of negative growth.) But, as a chancellor, she's trying to make moves that will help the country and after her mandate. 

[pinto + 293]

Good moment... Germany is now full of illegals, crime is up and the economy is down..

[francoba + 93]

5 minutes ago, pinto said:

Good moment... Germany is now full of illegals, crime is up and the economy is down..

Yep. Higher taxes, but they have kept their industries...And, Germany is a country that needs one million workers...

[BALBOA + 37]

Under Merkel's power, the country did really big reforms.. they already have too many taxes (and complications), but tax policy is a basis for an upgrade. In any sense. Of course, I'm not for the slogan of Robin Hood: Take it from the rich and give it to the poor...

[ronwagn + 6,290]

10 hours ago, 50 shades of black said:

Technically not a recession yet...  ( I think they had one-quarter of negative growth.) But, as a chancellor, she's trying to make moves that will help the country and after her mandate. 

There is no hope for Merkel unless the Germans have become even more gullible that I think they have. 

[Jan van Eck + 7,558]

18 hours ago, francoba said:

Yep. Higher taxes, but they have kept their industries...And, Germany is a country that needs one million workers...

Germany would have been better off to have recruited workers from the Ukraine and from the USA.  Not Canada, though; the Germans are far too square to handle Canadians ordering breakfast:  "Two heggs, sunny day up; pair of toast; bacon, side by each; Pepsi, Mae West, and gum that's all." 

(And yup, that's"heggs," not "eggs"  Enphaltic will confirm!).

[Douglas Buckland + 6,308]

If you are going to tax the wealthy simply on the basis of their wealth, can you 'tax' the poor on being poor and a burden on society?

Perhaps require some form of community service?

Who determines the level at which someone is considered wealthy?

When we use the term 'income equality' are we assuming that everyone should be paid the same wage? A neurosurgeon should expect to earn the same as a truck driver? An engineer should be remunerated at same rate as an accountant? The guy or gal flipping burgers should command a salary whereby they can afford to raise a family in suburbia?

At what point can we accept the consequences of our career choice decisions, realize that some people are more astute business people than we are and that some people are fortunate enough to have inherited wealth and simply get on with our lives?

I am not referring to those that attained wealth illegally, but we should not penalize people who have utilized loopholes which they have found in the system.

Doesn't this reek of socialism and envy?

[DocManfred + 42]

19 hours ago, pinto said:

Good moment... Germany is now full of illegals, crime is up and the economy is down..

Garbage ! Where do you get your information from ? Fox news of the Sun ?

I live there. Almost no illegals, crime is not up and weakness of economy (recession) is technical only so far.

Wealth tax is proposed by weak coalition party SPD (15 %) of the governmernt. Reason is that elections in some eastern states in Germany (formerly GDR) are ahead in October. Wealth tax will not come.

Germany is one of the best, cleanest and safest countries in the world. A nice place to live.

[Rasmus Jorgensen + 1,169]

43 minutes ago, Douglas Buckland said:

I am not referring to those that attained wealth illegally, but we should not penalize people who have utilized loopholes which they have found in the system.

Depends on the loopholes I would say.

Hard work, luck and to some extent inherited wealth - I agree with you. 

[Douglas Buckland + 6,308]

32 minutes ago, Rasmus Jorgensen said:

Depends on the loopholes I would say.

Hard work, luck and to some extent inherited wealth - I agree with you. 

If the loopholes are legally accessible, how can you penalize them? I'd say close the loopholes.

[Douglas Buckland + 6,308]

1 hour ago, DocManfred said:

Garbage ! Where do you get your information from ? Fox news of the Sun ?

I live there. Almost no illegals, crime is not up and weakness of economy (recession) is technical only so far.

Wealth tax is proposed by weak coalition party SPD (15 %) of the governmernt. Reason is that elections in some eastern states in Germany (formerly GDR) are ahead in October. Wealth tax will not come.

Germany is one of the best, cleanest and safest countries in the world. A nice place to live.

Okay Doc, perhaps the term 'illegals' was inaccurate. But let me ask you, how are all the legal immigrants recently allowed into you country assimilating?

[Rasmus Jorgensen + 1,169]

13 minutes ago, Douglas Buckland said:

If the loopholes are legally accessible, how can you penalize them? I'd say close the loopholes.

I think I know what you mean and atleast to an extent agree, but some some things are just balatantly ethically and morally wrong and there should be a special place in hell for corporate looters and their political friends... Despite the fact that none of what they have done is technically illegal. 

[Douglas Buckland + 6,308]

2 minutes ago, Rasmus Jorgensen said:

I think I know what you mean and atleast to an extent agree, but some some things are just balatantly ethically and morally wrong and there should be a special place in hell for corporate looters and their political friends... Despite the fact that none of what they have done is technically illegal. 

Agreed, but I am referring to the John and Jane Doe's out there that happen be wealthy simply due to hard work, education, good career choices, a smart ancestor or just luck. Penalizing success is counter productive.

[DocManfred + 42]

3 hours ago, Douglas Buckland said:

Okay Doc, perhaps the term 'illegals' was inaccurate. But let me ask you, how are all the legal immigrants recently allowed into you country assimilating?

Germany has ca. 83 mill. inhabitants (31.12.2018). From 2015 to 2018 ca. 1,78 mill. fugitives came to Germany (2,1% of the population in Germany). Out of them 1,2 mill. are recognized fugitives (1.4% of the total population), 300,000 people are waiting for a decission whether they will be regognized as fugitives and 180,000 people have to leave the country. Many of the latter group leave Germany voluntarily after they got some money for a new start in their country. A smaller amount of people is forcefully extradicted, especially those who committed a crime.

Out of the 1,2 mill. recognized fugitives ca 410,000 are young men (age between 18 and 29) who can work a long time in Germany and contribute significantly to the public income before they retire. 38.000 young people make an apprenticeship.

210,000 out of the 1,2 mill. recognized fugitives are young children with an age of less than 4 years. If their parents stay in Germany they will pass the German education system, which by the way is completely free of charge, and they will be fully integrated into the society.

Currently ca. 35 % of all the fugitives mentioned above have a job. For 2025 the target is 50%. Since children and old people do not work the maximum theoretical quote is significantly below 100%. Among the "German" population it is currently ca. 69%.

Please consider that Germany has an ageing population and requires immigration, however especially qualified immigration with required skills. Germany has recently implemented respective laws which foster qualified immigration.

The fugitives from Syria war are the largest group and they have the highest chance to be recognized as fugitives. Many others are from Irak, Libya and Afghanistan. When the horrible war in these countries is over many of them will have to return to their respective country. During the war in Yugoslavia in the 1990ies Germany accepted ca. 400,000 fugitives from former Yugoslavia. A lot of them had to return to their countries when the war was over - and they did. But many people who were well integrated and contributed to our society were also allowed to stay. This will be the same with all the other fugitives.

Germany spends a lot of money for the fugitives. This is the price for futile wars in Syria, Irak, Libya and Afghanistan. When Germany´s spending for NATO is criticized as too low, we think that our contributions to cope with such collateral damages and for preventive investments against the terror in Africa and the Near East have also to be taken into consideration.  

[Douglas Buckland + 6,308]

I did not ask about the make up of the recent wave of fugitives, I asked how they were assimilating into German society.

France has many 'fugitives' who essentially refused to become French and now there are areas in Paris where French people are unsafe. Same to some extent in the UK.

Almost every developed nation has an aging population.