Pressure trade unions, employers and lobbies exercised apparently paid off. After years of talks, Franz Müntefering (SPD), federal minister of Labour and Social Affairs, declared on June 25, 2007, to the general surprise, that he wanted to renew the aid to build up a professional pension, which was supposed to expire at the end of 2008. This decision was unanimously welcomed by employers and unions. (Ref. 070582)
As part of the law on income tax (§ 3 Nr. 63 Einkommensteuergesetz), employees can, since 2002, assign up to 4% of their gross income to the establishment of a professional pension without having to pay for social contributions or taxes on this sum. This disposal had to end at the end of 2008. Franz Müntefering had in the past several times opposed to renewing this aid, arguing that the exemption of these social taxes had been established to “give a temporary financial boost” to employees. In a
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