In order to alleviate the high energy prices caused by the conflict between Russia and Ukraine, the German federal government decided to allocate 15 billion euros to reduce the burden on the "middle class" of society. On March 24, the German "Traffic Light" cabinet reached an agreement on a comprehensive relief plan.
burden reduction plans at a glance
Das Entlastungspaket im Überblick
Federal Finance Minister Christian Lindner announced a package of burden reduction plans
300 euro one-time energy subsidy
300 Euro Energiepreis-Pauschale
0 subsidy plan is the one-time energy subsidy of 300 euro, which is applicable to all practitioners who need to pay personal income tax , excluding retirees. The money in will be paid as a supplementary part of the salary, such as in the form of commuter allowances, transportation allowances or monthly work passes. Self-employed operators will receive subsidies in the form of reducing prepaid taxes.
One-time subsidy of 100 euros per child
100 Euro Einmalbonus für Familien mit Kindern
To alleviate the special difficulties of families with children, the government will issue an additional subsidy of 100 euros for each child in addition to the Kindergeld . This subsidy will be included in the children's tax exemption.
Social welfare recipients will receive an additional 100 euros
100 Euro für Sozialleistungs-Empfänger
For low-income social welfare recipients, the government has previously decided to pay a one-time subsidy of 100 euros to each person, and will now add another 100 euros. If energy prices remain high, this subsidy standard may be appropriately increased again by January 1, 2023.
reduces fuel tax
Senkung der Kraftstoffsteuer
reduces oil prices, gasoline is reduced by 30 euros per liter, and diesel is reduced by 14 euros per liter . This move will be achieved by reducing energy taxes, and Germany will lower the fuel tax to the lowest level in Europe. However, the provision of is valid for only three months , which will last until the end of June.
9 euro bus monthly pass
9-Euro-Monatsticket im ÖPNV
launches monthly public transportation monthly pass for 9 euros per month in the country, and can be used on both buses and trains. The government hopes to guide people to change to public transportation through this move. This preferential monthly pass measure will be implemented for 90 days. States should receive appropriate grants for this. It is not clear whether the scope of application of this monthly pass is in the city, region or nationwide.
Accelerate the elimination of gas heating systems
Forcierter Austausch alter Gasheizungen
From 2024, newly installed house heating systems must use 65% renewable energy , and old gas or fuel heating systems will be phased out. What kind of subsidies will be issued for this has not been determined yet.
How do economists say
Was Ökonomen sagen
This subsidy plan has aroused different reactions from economic experts. Clemens Fuest, director of the IFO Economic Research Institute, criticized that this is a "watering can relief" that not only costs a very high fiscal price, but is also not accurate. He believes that lowering oil prices is a mistake, "Fortunately this adjustment is only temporary", "It is better to provide relief specifically for small and medium-sized companies with high energy costs."
But Carsten Brzeski, chief economist at ING Bank, praised these measures, believing that it can play some relief to consumers' burdens in the short term. However, the package is not enough to solve all the negative economic consequences of energy price increases.
Quelle
https://www.tagesschau.de/wirtschaft/verbraucher/wie-werden-die-buerger-entlastet-101.html
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