Lowering the tax rate in order to strengthen Neuried as a business location – this idea was not well received by the majority of the municipal councils in Tuesday’s meeting. And that had nothing to do with the current discussions about low tax rates in tax havens like Grünwald, but rather very pragmatic reasons.
The parliamentary group of Bündnis Zukunft Neuried (BZN) wanted to stimulate a debate with their application to reduce the trade tax rate, as parliamentary group spokesman Robert Hrasky said. A reduction would be a “good sign” for tradespeople after the pandemic crisis. The members of the committee reacted to the application with great incomprehension, mainly because it was not possible to calculate whether Neuried could afford it.
Rate up or down – the debate in Neuried always goes in both directions. Just a year ago, the municipal council discussed raising the tax rate, which is currently 330 percent, in order to improve the ailing financial situation. The idea was discarded. Now comes the request to lower the assessment rate – to what level should be debated. Hrasky, himself an entrepreneur, wants to relieve small companies in particular with a reduction so that they can invest their profits after the “difficult times” of the pandemic instead of paying them to the tax office.
Tax gifts at the expense of the general public are “lack of solidarity”, according to the Greens
Andreas Dorn (SPD) could not follow this argument. Neuried had surprisingly high trade tax receipts last year – “we were lucky”. But nobody knows what will flow into the cash register in the coming years. For him, a reduction is only conceivable if the municipality has managed sustainably. But that is not the case. The municipal finances seemed too fragile and much too dependent on “luck”. Birgit Zipfel (Greens) also considered the trade tax revenue to be “too shaky”. With an assessment rate of 330, Neuried is well below the national average, “we are very attractive”. Group colleague Leon Zipfel (Greens) became clearer. It is “unsolidarity to make tax gifts at the expense of the general public.” The tax is calculated on the profit, the principle applies: whoever has, will receive. He considered a reduction to be “irresponsible”. The community needs the money.
A reduction in the assessment rates does not automatically result in lower income, argued Markus Crhak (BZN). “We’re not talking about dumping, but about a slight reduction.” It is an opportunity if a company can be permanently taxed in Neuried. Group colleague Regina Lechner emphasized that a reduction would ensure more income in the long term. The BZN’s application was rejected by a majority. However, Mayor Harald Zipfel (SPD) promised to hold another debate in the committee in the course of the year. Namely, if more precise figures are available on how the trade tax is developing and what financial effects a reduction would have.