The ruling coalition led by Chancellor Merz is negotiating a personal income-tax cut of up to €20 billion as part of a push to advance broader reforms. Parties remain split on how to finance the measure; CDU leadership and SPD leaders will meet Sunda

2026-06-26

The ruling coalition led by Chancellor Merz is negotiating a personal income-tax cut of up to €20 billion as part of a push to advance broader reforms. Parties remain split on how to finance the measure; CDU leadership and SPD leaders will meet Sunday to try to bridge differences over a proposal targeted at taxpayers with annual income up to €100,000. Coalition partners are preparing a July 1 meeting to finalize plans for pensions, healthcare and tax-system reforms intended to revive German economic growth.