The Left Party has been calling for an excess profit tax for a long time. The Greens are also open to this. Given the fuel price debate explained Green leader Ricarda Lang, that an excess profit tax is a “logical step” “if the mineral oil companies are obviously exploiting the current crisis to make huge profits”. Called on Saturday SPD leader Lars Klingbeil the proposal “very worth considering”.
Federal Finance Minister Christian Lindner (FDP) had already expressed criticism in the “Spiegel” in mid-May: An excess profit tax “would also affect the manufacturers of vaccines, wind and solar power plants or semiconductors,” he argued. “They make profits because they use their skills to eliminate shortages. I don’t want to take away any of the impetus for them to produce more.”
Of the scientific service of the Bundestag In his study, he refers to a number of constitutional questions relating to an excess profit tax – but also to the fact that the legislature has a wide scope for design, which can only be measured by the ban on arbitrary decisions.
the EU Commission gave the general green light in March for Member States to “consider temporary tax measures on contingency profits and, exceptionally, decide to earmark part of those profits for redistribution to consumers”. However, “excessive market distortions” must be avoided.
Source: AFP