Fürstenfeldbruck: Surprising trade tax increase of 16 million euros!

Fürstenfeldbruck: Surprising trade tax increase of 16 million euros!

Things are really exciting in the city of Fürstenfeldbruck: the cash registers are ringing! An unexpected increase in trade tax revenue of around 16 million euros is causing a lot of confusion. The original plans called for revenue of 22 million euros, but the city is now looking at a whopping 28 million euros. Treasurer Marcus Eckert announced this surprise to the finance committee, and that is something to sit up and take notice of. Where does this sudden windfall come from?

A good portion, around 10 million euros, comes from additional payments that are due to the low interest rate phase. Rising military spending has also contributed to this revenue boom. But not everything is clear: the rest of the income is a mystery. It could be that a software problem is involved here, as Eckert and the city's finance officer Wollenberg emphasize. According to the two, other municipalities are also struggling with similar ambiguities.

The role of trade tax

To better understand the importance of this tax for the city, it is worth taking a look at the trade tax itself. In Germany, this tax is levied on the profitability of companies and is one of the most important sources of income for municipalities. The legal basis is set out in the Trade Tax Act (GewStG). The tax rate is usually 3.5% of commercial income, which can be increased by the municipalities, which leads to different assessment rates. The trade tax was introduced in Germany in 1891 and is still controversial today. It can be both a blessing and a curse for municipalities, as income is heavily dependent on the economic situation and high assessment rates can make it difficult for new companies to establish themselves finanzkun.de emphasized.

The city of Fürstenfeldbruck is one step ahead in the highly competitive tax collection market: 30 million euros in trade tax revenue are planned for the 2026/27 double budget. The fact that the city has approved credit authorizations helps to avoid further indebtedness. This means that the budget does not have to be approved by the municipal supervisory authority, which gives the city a certain degree of flexibility and avoids further consolidation requirements.

A look into the future

Despite the current cheer, the treasurer warns of financial difficulties from 2028 onwards. Projects such as the expansion of the primary school and the relocation of the building yard are getting closer and are becoming more realistic due to the positive budget situation. Eckert expects a surplus of 2.5 million euros in 2026 and 2 million euros in 2027. An important discussion about the budget and the staffing plan is scheduled for November, and the adoption of the double budget is planned for December.

Overall, it can be seen that trade tax remains a central instrument of municipal finance. Their dynamics can bring both opportunities and challenges for cities. Mercury reports that the city's financial situation will be crucial in the coming years.

We can only hope that Fürstenfeldbruck sets the course for a successful economic future with a good hand and that the successes are not just short-term, but have a lasting effect.