CDU/CSU lawmakers resist German government tax reform plans

Members of the CDU/CSU parliamentary group are organizing resistance against the federal government's proposed tax reforms. Approximately 20 lawmakers have indicated they may refuse to support several key measures, including proposed taxes on sugar, plastics, and cryptocurrencies.

Critics within the Union, including the agricultural working group, argue that these new levies violate previous coalition agreements that excluded tax increases. Additionally, finance experts and social policy wings are demanding a full compensation for 'cold progression'—the tax burden increase caused by inflation—rather than the partial relief currently planned.

The debate coincides with broader discussions regarding the 2027 federal budget. While the government aims for tax relief for families and middle-income earners through increased allowances, Union politicians have labeled the current plans as 'embarrassing and too meager.'

Separately, the Bundestag is debating significant shifts in development aid, with pressure mounting to reverse planned cuts to the Ministry for Economic Cooperation and Development's budget, which currently faces a reduction of several hundred million euros.