DIHK general manager criticizes planned changes to the law - financial expert calls for political clarity

DIHK general manager criticizes planned changes to the law - financial expert calls for political clarity

According to a report by www.deutschlandfunk.de The general manager of the German Chamber of Commerce and Industry (DIHK), Martin Wansleben, criticizes the planned change in the law to relieve the burden on companies. The so-called Growth Opportunities Act is intended to relieve the German economy of an average of seven billion euros per year through tax relief, including a bonus for investments in climate protection. However, according to Wansleben, a number of originally planned improvements in small-scale political matters have been restricted again, which is causing concerns among various interest groups.

As a financial expert, I see the restriction of the planned improvements in the Growth Opportunities Act as having potential effects on the market and the financial industry. The reduction of tax relief and the limitation of planned bonuses could lead to a reduction in the willingness to invest and economic growth. Companies could rethink their investment plans and act more cautiously, which could lead to a slowdown in the economy in the long term. In addition, the threat of tax losses could lead to an increased burden on public budgets, which in turn could have an impact on government investments and social benefits.

The public hearing in the Finance Committee of the Bundestag and the necessary approval of the Bundesrat will be decisive in determining the final form of the Growth Opportunities Act. It remains to be seen whether criticism from the DIHK and other interest groups will lead to adjustments that could mitigate the feared effects. As a financial expert, I will continue to closely monitor developments in this area and provide appropriate analyzes and recommendations for my clients.