Germany's Finance Minister wants a Eurozone Tax

[Deleted]

Source: http://www.spiegel.de/wirtschaft/soz...a-1045206.html

According to information obtained by SPIEGEL, German Minister of Finance Wolfgang Schäuble and the European Commission are considering this option. Preliminary ideas on how to finance the budget already exist.

In Brussels and Berlin, plans for a common Eurozone budget are taking shape. According to information obtained by SPIEGEL, Germany's Minister of Finance Wolfgang Schäuble would be willing to sign over substantial amounts of Germany's tax revenues to a separate Eurozone budget that would be overseen by a European minister of finance.

The new pooled budget could be funded by VAT or income tax revenues. Another possibility would be to afford the Eurozone finance ministry the right to directly levy a surcharge on taxes. “We are prepared to discuss these issues in earnest,” says the German Ministry of Finance.

The European Commission also considers it necessary to create independent sources of revenue for a potential Eurozone economic government. A task force led by the former Italian PM Mario Monti is said to be looking into revenues for Eurozone’s own “fiscal capacity” at the request of President of the European Commission Jean-Claude Juncker. “The Eurozone needs to think about levying its own tax,” says Elmar Brok (CDU), an MEP close to President Juncker. A common Eurozone budget could, for example, be used to smoothen out fluctuations in the economy.

I wonder how many Germans are even aware of this...

If there was not a viable Euroskeptic/Euro-exit party in Germany before, there will be soon!

[Deleted]

Sometimes it's like they WANT the people to rebel >.>

I am pro EU but a 100% against how it is in practice right now...

[Deleted]

Thats a bomb if they try that because it goes against all previous agreements.

A transfer union was explicit ruled out in the treaties.

[Deleted]

It's okay, the reich is paying.

[Noradin]

It's okay, the reich is paying.

The Germans are mentioned and it takes only three posts for this...

[Cyberowl]

The French Finance Minister was actually the first one to suggest it, Schäuble picked it up.

But hey, for simple minded people it is easier to jump on the 4th Reich train.

[hellhamster]

The French Finance Minister was actually the first one to suggest it, Schäuble picked it up.

But hey, for simple minded people it is easier to jump on the 4th Reich train.

Shush you Nazi!

Anyway, the chance of this passing is literally zero, so move along I guess.

[Deleted]

Sounds good to me, they'll never have a successfully euro zone without integrated fiscal policy. This is basic economic common sense.

- - - Updated - - -

Shush you Nazi!

Anyway, the chance of this passing is literally zero, so move along I guess.

This particular idea unlikely in the short term, were more likely to see much stronger fiscal prudence measures as a immediate reaction to the Greek crisis. Long term they'll never make the EZ a success without this form of fiscal integration, expect common fiscal policy to be a key part of the EZ within the next25 years.

[Sunseeker]

Perhaps they should rename the EU to the German Union, or just drop the whole "union" part, we could just rename all of Europe to New Germany or something.

[Deleted]

Perhaps they should rename the EU to the German Union, or just drop the whole "union" part, we could just rename all of Europe to New Germany or something.

As already mentioned - this is actually a French idea, but we all love the "FOURTH REICH IS COMING" spin we can give it if we say it's Germany.

Hitler sells papers, baguettes not so much.

[hellhamster]

Sounds good to me, they'll never have a successfully euro zone without integrated fiscal policy. This is basic economic common sense.

- - - Updated - - -



This particular idea unlikely in the short term, were more likely to see much stronger fiscal prudence measures as a immediate reaction to the Greek crisis. Long term they'll never make the EZ a success without this form of fiscal integration, expect common fiscal policy to be a key part of the EZ within the next25 years.

Maintain a fiscal union among the entire eurozone while trade imbalances between the south and north are never fixed, it's like they want a 2008 all over again, times infinity this time though.

[Sunseeker]

As already mentioned - this is actually a French idea, but we all love the "FOURTH REICH IS COMING" spin we can give it if we say it's Germany.

Hitler sells papers, baguettes not so much.

Just because your new German overlords will well...be your overlords doesn't mean they're gonna be Nazis.

Still, it was a French idea because France can't afford it and its hoping to undercut Germany's financial superiority in the region.

[Deleted]

Maintain a fiscal union among the entire eurozone while trade imbalances between the south and north are never fixed, it's like they want a 2008 all over again, times infinity this time though.

Lets vote on this in germany democracy ftw.

Oxi!

[Deleted]

Maintain a fiscal union among the entire eurozone while trade imbalances between the south and north are never fixed, it's like they want a 2008 all over again, times infinity this time though.

Well common monetary policy is already a stupid idea when you have such drastic differences between North / South, but we do love digging a hole deeper and deeper here in the EU.

- - - Updated - - -

Just because your new German overlords will well...be your overlords doesn't mean they're gonna be Nazis.

Don't worry - here in the UK we're patting ourselves on the back that we chose to stay out of the insanity that is the Eurozone. Right now we just look onto how everything has gone down and /facepalm.

[Deleted]

Thats a bomb if they try that because it goes against all previous agreements.

A transfer union was explicit ruled out in the treaties.

I imagine the only thing really showstopping it are not European treaties, which no doubt almost all other countries would happily amend to get German tax money, but the German constitution (Grundgesetz).

[hellhamster]

Lets vote on this in germany democracy ftw.

Oxi!

That's the spirit!

[Deleted]

That's the spirit!

Germany doesn't ask the people or we would still be two countries.

[Venompaw]

Amusing, Wolfgang Schäuble is the only one to propose actual solutions to the Greek/Europe crisis. His stance on Greece seems to be make the bailout deal as unattractive as possible in hopes that it would be outright rejected.

[Heltoray]

Germany doesn't ask the people or we would still be two countries.

you mean the people in the east who were drooling to be back in the BRD in 1989 because they wanted the western living standards? Or the western side who were absolutely hyped to take them back?
Either way, the only people I hear complaining about the reunification are old grumpy morons who just like to cry that everything was better in the old days - which is bullshit on every level you can imagine.

[Mihalik]

1st step for a common fiscal policy. I FULLY SUPPORT IT!