Gräfelfing break 100 million euros in trade tax – Munich district

Gräfelfing expects a drastic slump in trade tax revenue in the coming year. Instead of 160 million, as it is expected for 2022, according to forecasts by the treasurer Tanja Dandl, it will only be 54 million euros in 2023. Revenues are expected to remain at this level for years to come. The situation does not give the Gräfelfingers a headache. The reserve provides a stable cushion, and the investment program will be maintained.

The municipality of Gräfelfing has usually been able to announce record results in trade tax revenue during the preliminary budget deliberations of the past few years. Not this time. The news that revenues will be reduced by more than 100 million euros came as a surprise to the main committee on Tuesday. Due to tax secrecy, the municipality is not allowed to disclose what is causing the decline. Mayor Peter Köstler (CSU) called “internal restructuring” of a large company as the reason. He emphasized that the community is still “at a very good level” even with a carefully estimated income of 54 million euros.

The drop in sales is having a drastic effect on the regional levy that is incurred with a time lag. Due to the high income of the past few years, the Gräfelfingers will have to pay around 97 million euros in a district levy to the district in 2023. For the first time in a long time, the municipality has to tap into its reserves. This also gives with a cushion of 320 million euros at the end of 2022. According to Köstler, all projects are being implemented as planned, from the conversion of the community center to the extension to the town hall.

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