Leading economists have proposed reforming marriage tax splitting in an open letter to Chancellor Friedrich Merz and Vice Chancellor Lars Klingbeil.
The initiators, including Monika Schnitzer and Nicola Fuchs-Schündeln, want to cap the tax advantage at 13,805 euros. The additional revenue would flow back to families through higher child allowances and child benefits.
The proposal aims to make additional employment financially more attractive. Couples with children would on average receive 585 euros in relief per year, single parents 417 euros.
Childless couples with unequal incomes would on average pay 316 euros more in taxes. Similar considerations had already been presented by the Finance Ministry in early April.
