Investments in workshop machines and other industrial equipment are to become deductible from July 1, reports the news agency DPA. The corporate tax will be reduced step by step from 2028, from the current level of 15 percent to 10 percent in 2032. In addition, companies' purchases of electric cars will become more tax-favorable.
We are now doing what this government has taken on: to prioritize economic strength, growth and secure jobs, says Finance Minister Lars Klingbeil in the federal parliament debate.
The goal is to increase the investment willingness of companies in Europe's largest economy, which has slowed down significantly in recent years due to weak domestic demand and headwinds on the global market.
In order to come into force, the decision must be approved by the Federal Council, where the states are represented. A vote is planned there on July 11.
