New tax cut for fuel in Germany
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Fuel is very expensive in Germany. Gasoline and diesel cost much money. The government helps the people now. A tax cut starts on October 1. Drivers pay 17 cents less per liter.
This cut lasts until the end of the year. The state lowers taxes on fuel for this. This costs the state 2.5 billion euro. A price limit starts in January 2027. Fuel must not cost more than a limit.
Farmers and transport firms like the help. They save much money at work. Food stays cheap in the shop. Experts say: The tax cut saves jobs. It helps against inflation. Inflation means that all things get more expensive.
Many people criticize the plan. The Green party calls the cut madness. They think: Rich oil firms get the money. Poor people get no money. Critics want an energy money for all citizens.
Energy is expensive in other countries too. People worry in Italy and France. Taxes for cars go away there. Some politicians want a special tax for oil firms. These firms make very high profit now.
This cut lasts until the end of the year. The state lowers taxes on fuel for this. This costs the state 2.5 billion euro. A price limit starts in January 2027. Fuel must not cost more than a limit.
Farmers and transport firms like the help. They save much money at work. Food stays cheap in the shop. Experts say: The tax cut saves jobs. It helps against inflation. Inflation means that all things get more expensive.
Many people criticize the plan. The Green party calls the cut madness. They think: Rich oil firms get the money. Poor people get no money. Critics want an energy money for all citizens.
Energy is expensive in other countries too. People worry in Italy and France. Taxes for cars go away there. Some politicians want a special tax for oil firms. These firms make very high profit now.
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Definitions
- Tax cut
- A lower tax on gasoline and diesel so that buying fuel is cheaper for citizens.
- Price limit
- A rule that says a product must not cost more than a set amount.
- Inflation
- The word describes that prices for goods and services rise over a time.
- Special tax
- An extra tax for firms that make very high profit during a crisis.
Locations
- Germany
- A country in Central Europe.
- Europe
- A continent with many different countries.
Sources
FAZ
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