Germany Wants to Lower Tax for Newly Arrived Foreign Skilled Workers
In an attempt to attract more foreign qualified specialists to the country, Germany is working on finalising a massive tax reduction.
As part of its so-called “growth initiative”, the German government is planning to partially exempt newly arrived foreign qualified workers from the tax for their first three years of employment in the country, Schengen.News reports.
According to the authorities, tax relief is much needed as Germany is dealing with shortages in various sectors across the country.
Sharing information on Germany’s plans to increase immigration of foreign workers, the Federal Minister of Finance Christian Lindner said that the tax rebate is being created specifically for newly arrived professionals.
Minister Lindner noted that the rebate will only apply in the first three years of employment if the measure is approved and officially enters into force.
In addition to the above-mentioned, the Minister explained that the rebates will vary between 30, 20, and ten per cent.
However, he did not disclose any further information on who will be eligible for a larger tax relief and who will be eligible for a smaller tax relief and what the criteria will be.
We are creating a tax rebate for foreign professionals during their first three years in Germany. There will be rebates of 30 per cent, 20 per cent, and ten per cent for those people who come here as qualified specialists.
The measure needs to be approved before it becomes effective. The authorities said that they intend to make a revision of the move after five years.
