Dispute over child allowance
The traffic light coalition finds the next bone of contention
January 21, 2024, 2:03 a.m
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Finance Minister Lindner wants to increase the tax allowance for children without simultaneously increasing child benefit. The SPD doesn’t think that’s a good idea.
SPD party leader Lars Klingbeil has criticized Finance Minister Christian Lindner’s plans for a higher child allowance as unfair. “I think it’s unfair to only relieve the burden on families with very high incomes. The working middle class in particular, i.e. those who get up every day, work hard to earn their income and also look after their children, neighbors and the club, should be relieved.” said Klingbeil to “Bild am Sonntag”.
These same people were still feeling the effects of inflation. “That’s why it’s completely clear to me that families with small and medium incomes also have to get more this year,” said the SPD chairman.
It became known on Friday that Lindner wants to increase the tax allowance for children without increasing child benefit at the same time. Parents automatically receive either child benefit or the income tax allowance for children. The tax office checks what is more advantageous for you. The allowance is often only worthwhile for higher incomes.
The tax allowance was already increased from 6,024 euros to 6,384 on January 1st and, according to the Finance Ministry’s plans, should increase retroactively to 6,612 euros. The general basic allowance should also be increased. Child benefit should remain the same.
“The SPD will not take part”
Michael Schrodi, financial policy spokesman for the SPD, told the newspaper: “The SPD will not go along with that. There will be no majority for such plans from the Lindner house.” What the FDP politician has in mind is an austerity program in the wrong place: “If there are 380 million for additional relief for the richest parents, then he also has the money for an increase in child benefit.”
There are also objections from the ranks of the Greens. “Families in the middle must not go away empty-handed,” said parliamentary group vice-president Andreas Audretsch to the newspaper. It is common practice to increase child benefit and child allowance equally. “Citizens rightly expect this reliability.”