24 August 2010 17:48 [Source: ICIS news]
However, Michael Fuchs, a leading economics expert in Merkel’s CDU/CSU party, said this week that rather than hurting energy-intensive producers, the government should - in order to achieve its savings target - reverse a planned reduction of sales taxes in the hotel sector.
Fuchs said the reduction of sales taxes in the hotel sector had been a “mistake” that unnecessarily complicated an already high-complex value-added sales tax system.
Frankfurt-based chemical producers group VCI said Fuchs' proposal went “in the right direction”.
“Exports are the locomotive of [
Tillmann added that Merkel’s CDU/CSU party was coming to the recognition that higher taxes on producing companies were a wrong move.
“We need better ideas to find savings” than cutting the break on eco-energy taxes, he added.
Der Spiegel, a weekly news magazine, said that the move to reduce sales taxes for hotels had been driven by Merkel’s coalition partner, the Free Democrats. That party usually enjoys strong support from smaller businesses, including hotels and restaurants.Last week, a number of German businesses leaders, including BASF chief executive Jurgen Hambrecht, opposed a government plan for a special tax on nuclear energy providers.
In related news on Tuesday,
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|