Taxes in Erding: Lift rates rise - IHK warns of emigration!

Taxes in Erding: Lift rates rise - IHK warns of emigration!

Erding, Deutschland - In Upper Bavaria, there is a lot going on when it comes to trade tax rates. As reported ed-live.de, many municipalities increased their sentences last year. Only a small circle is affected in the Erding district: only three municipalities have raised their lifting rates. The average rate in the Erding district is 367 percent, which is above the Upper Bavarian average of 342 percent.

A look at the numbers shows that book on the Buchrain increased by 30 points to 360 percent, while Moosinning and Ottenhofen increased by 40 points to 380 percent. All other cities and municipalities in the district were preserved. The lifting rate in Berglern and Wartenberg with 450 percent each and in Munich with 490 percent - that is the highest value in all of Upper Bavaria.

The entire context of tax policy

The question of how the lifting rates develop is of great importance for companies. Because as IHK Munich, the cities and municipalities in Germany themselves determine the amount of trade tax rates, which means that companies have to look very precisely, where they have to look settle. Financial burdens are an important factor in choosing a location.

The IHK warns that other municipalities in the district could increase their lifting rates. "In an economically tense time, this could lead to a emigration from companies," warns Otto Heinz, IHK Vice President. The municipalities in the Erding district achieved income of around 125 million euros last year, which corresponds to around 40 million euros more than in 2023

The influence on the economy

Net trade tax revenue makes up almost half of the municipal tax revenue at the district level. At the same time, rising district levies that involve municipalities in the expenditure of their counties are urging the discussion about higher trade taxes. A very sensitive topic, because the tax burden of German companies is around 30 percent-in international comparison a high number dihk.

This shows that high trade tax loads can damage a location. Service companies and those that want to be new are particularly affected. This cannot be pointed out by the hand, because the choice of location is also influenced by the financial burden and availability of qualified specialists.

The statement that Upper Bavaria has relatively low lifting rates compared to other federal states is also not ignored. The average rate is 342 percent, which is below the Bavarian (345 percent) and the German average (409 percent). Many municipalities see themselves under pressure to consolidate their finances through tax increases, which is related, among other things, with increasing costs for services and social expenditure.

It remains exciting how the various municipalities in the Erding district will react to the challenges. The coming months could bring some surprises, both for the citizens and for entrepreneurs in the region.