Minister President Mario Voigt proposes tax relief for families amid Germany's record-low birth rates, press conference scene.
Minister President Mario Voigt proposes tax relief for families amid Germany's record-low birth rates, press conference scene.
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Voigt proposes tax relief for families

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Amid historically low birth rates in Germany, Thuringia's Minister President Mario Voigt has proposed tax relief for families. In an interview with Stern magazine, he called for exploring new approaches. Births fell to 654,300 last year, the lowest since 1946.

Thuringia's Minister President Mario Voigt has suggested tax relief for families to address Germany's demographic challenges. "I think we should explore new paths and consider relieving families more through taxes," the CDU politician told Stern magazine.

He proposed exempting one parent from income tax for families with three or more children. "That would send a clear signal: families are not just praised but concretely supported," he emphasized. Data from the Federal Statistical Office show that only 654,300 children were born last year – the fewest since 1946.

Voigt called the figures a "clear warning signal" and pointed to the particularly dire situation in eastern Germany. "The demographic echo of the 1990s is felt strongly there," he explained. He urged putting family policy back in focus and shielding parents from burdens like high energy prices and inflation.

"Therefore, we must consider demographic developments in all upcoming reforms," Voigt said. The goal is to give families more planning security.

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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.

Leading economists have proposed reforming marriage tax splitting in an open letter to Chancellor Friedrich Merz and Vice Chancellor Lars Klingbeil.

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The SPD parliamentary group has opposed flat cuts to parental allowance. Family Minister Karin Prien of the CDU faces pressure to save 500 million euros.

Federal Economics Minister Katherina Reiche (CDU) has rejected demands for an excess profits tax to address high fuel prices. She called measures like fuel vouchers misleading and proposed raising the commuter allowance instead. The price surges stem from the Iran war.

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German Finance Minister Lars Klingbeil (SPD) detailed specific savings targets for the 2027 federal budget at a press conference in Berlin. The measures aim to close a 111 billion euro financing gap. The largest cuts target pensions at four billion euros.

Junge Union leader Johannes Winkel proposes reducing the July 1 pension increase to 3 percent to finance the planned BAföG raise.

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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.

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