Pilot project in Hesse: High acceptance for tax returns from tax office

A pilot project in Hesse has met with strong approval: 75 percent of participants accepted the tax return prepared by the tax office. The project involved 6,000 citizens in the Kassel area. Hesse plans to continue it with other states.

Frankfurt. Last year, Hesse launched the pilot project 'Die Steuer macht jetzt das Amt für Sie!' (The tax office now does your tax return!). 6,000 citizens from the Kassel area received an automatically filled tax return from the tax office based on existing data. Nearly 75 percent accepted the proposal without reservation and then received their tax notice. > 'The high acceptance among the population shows that many citizens desire and expect exactly this kind of relief in tax matters,' states the internal evaluation report from the Hessian Ministry of Finance. Handelsblatt had exclusive access to the report. Hesse wants to continue the project with other federal states.

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Politicians Manuela Schwesig and Markus Söder advocating for tax reform in the German parliament following the rejection of a relief premium.
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Politicians call for tax reform after Bundesrat rejects relief premium

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After the Bundesrat blocked the planned tax-free relief premium of up to 1,000 euros, leading politicians are urging a comprehensive income tax reform instead. Manuela Schwesig (SPD) and Markus Söder (CSU) described the premium as failed.

The federal government agreed on a package of more than 30 reform measures on Wednesday evening. Chancellor Friedrich Merz presented it on Thursday.

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The Bundesrat today refused to approve the tax-free relief premium of up to 1,000 euros. This blocks a key measure from the energy relief package negotiated by the Union and SPD.

The Bundestag has approved annual relief of one billion euros for states and municipalities. The law is set to take effect retroactively from 2026 and run until 2029.

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Bundestag and Bundesrat passed Health Minister Nina Warken's savings reform. The coalition agreed on concessions to the states.

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