Wednesday February 24, 2021
Scholz refuses
No tax breaks for hairdressers
On March 1st, the hairdressing business should run again after a week-long standstill. The industry is expressing the desire for a tax cut similar to that in the catering trade. Finance Minister Scholz rejects the request of the cutting guild.
Vice Chancellor Olaf Scholz does not want to lower the VAT rate for hairdressing services to seven percent. Scholz rejected a request made by many hairdressers in a video discussion with hairdressers and cosmetics companies. "We have already taken a very far-reaching, very expensive step when it comes to the question of gastronomy and the hotel industry, where we did that," said Scholz.
A corresponding tax relief for hairdressers would be a "permanent complication for the state financing, which we cannot manage well," continued Scholz. At the beginning of February, the coalition leaders agreed that a reduced VAT rate of seven percent would apply to meals in restaurants and cafés until the end of 2022. Previously, the exemption was initially limited to June 30, 2021.
Olaf Scholz is the SPD's candidate for chancellor for the federal election. He is running as a direct candidate in the constituency of Potsdam – there is also Green leader Annalena Baerbock applying for a mandate. On Wednesday there was also the start of the digital future talks, in which Scholz wants to talk to citizens from all over Germany – for example about Corona aid, education and climate protection. He started with the Internet in Potsdam.
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