Tax revenues explode: Ministry of Finance at a loss about causes!

Tax revenues explode: Ministry of Finance at a loss about causes!

Berlin, Deutschland - The tax revenues in Germany show a striking increase in March 2025, which is classified as surprisingly by experts. According to a report by the Federal Ministry of Finance, income has increased by around 11 percent compared to the same month of the previous year. The strong increase in income tax revenue, which has grown by more than 7 percent, is particularly noteworthy, which is attributed to wage increases. In addition, sales tax revenue rose by around 16 percent.

The reasons for the dramatic increase in tax revenue remain unclear. As the FAZ , the ministry had calculated with a much more moderate growth, especially in view of the current overall economy Framework conditions.

retail sales and import numbers

In January 2025, retail (including car trading) was able to grow growth of 3.5 percent. This could partially explain why the income from import sales tax rose by almost 19 percent compared to the same month in the previous year. In the meantime, imports rose by 8.7 percent in January, which further proves the positive development of import sales tax.

In addition, the assessed income tax recorded an increase of 5 percent. However, while the income from wage and sales tax increases, the advance payments of corporation tax decrease by almost 3 percent. The Ministry of Finance declares this by the fact that the weak economic framework is less burdened by income tax persons than corporate tax -subject companies.

real estate transfer tax and inheritance tax

The strong increase in income from the real estate transfer tax, which increased by almost 37 percent, is also striking, and inheritance tax, which rose by around 17 percent. These tax revenues flow exclusively to the federal states.

The Federal Minister of Finance Christian Lindner points out the need to promote economic growth and reduce bureaucracy in order to compensate for the declines caused by weak economic development.

For the coming years, positive economic growth rates of 1.1 percent for 2025 and 1.6 percent for 2026 are expected. However, there are uncertainties, especially in terms of income tax revenue, which is influenced by tax -free inflation compensation premiums. While the ministry remains optimistic, the cash revenue seems to be left behind the forecasts of the last estimates.