The German government is reportedly planning to partially exempt newly arrived foreign-qualified workers from the tax for their first three years of employment in the country.
The move, part of the government’s “growth initiative”, is seen as an attempt to attract more foreign-qualified specialists to the country.
Sharing information on Germany’s plans to increase immigration of foreign workers, the Federal Minister of Finance Christian Lindner said that the tax rebate is being created specifically for newly arrived professionals, Schengen News reported.
According to the authorities, tax relief is much needed as Germany is dealing with shortages in various sectors across the country.
The minister said the rebate will only apply in the first three years of employment if the measure is approved and officially enters into force.
The rebates will vary between 30, 20, and ten percent, Lindner said.
However, he did not disclose any further information on who will be eligible for a larger tax relief and who will be eligible for a smaller tax relief and what the criteria will be.
The measure needs to be approved before it becomes effective.
The authorities said that they intend to make a revision of the move after five years.
While foreign workers have welcomed the facilitation that Germany wants to start applying, opposition politicians and trade unions have criticised the move as discriminatory.
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