On occasion of the first reading of the inheritance tax reform law in the German Federal Parliament, Sahra Wagenknecht, member of the executive of the party THE LEFT, declares:

„Give me all of the dough but none of the hassle!" - by this formula one might describe the law project on the reform of the inheritance tax that was debated today in the Federal Parliament. Instead of fighting social inequality by asking the inheritors of great fortunes to pay more than before, the law project envisages for business assets to be transferable largely without tax and for the revenues from the inheritance tax not to rise at all.

However, already today the contribution of the inheritance tax to the financing of the common wealth is insignificant. While revenues from inheritance and gift taxes in countries like Belgium or France constitute more than 0.5% of Gross Domestic Product, the share of these taxes in Germany only lies at roughly 0.2%. And it will fall further if the inheritance tax reform law is passed in this form.

The richest ten percent of the German population own more than two-thirds of overall income! At the same time, two-thirds of the German population dispose of little to no wealth at all. Now the chance is there to contribute to the reduction of this enormous inequality! It would be fatal if it were gambled away.

Sahra Wagenknecht
Brussels/Berlin, 15 February 2008