The Chamber of Employees (CSL) has published its opinion on the bill proposing the adjustment of the tax scale by an additional 1.5 index instalments.
From 1 January 2024, individuals are to benefit from a form of tax relief, as government measures seek to partially compensate for the loss of purchasing power due to an unadjusted tax scale. Where the previous government proposed a 2.5 index bracket adjustment, the new coalition plans to adapt the tax scale by four index brackets in total.
On Monday, the Chamber of Employees published a reaction to the measure, largely repeating comments made by director Sylvain Hoffmann in a recent interview with RTL.
The CSL expressed surprise at the fact that the tax rate for individuals in class 1A (divorced or widowed individuals) has not been modified beyond a simple index adjustment, despite the government programme confirming plans to revise the tax treatment for class 1A as a transitional measure ahead of introducing a new single tax regime from 2027. The Chamber of Employees therefore invites the government to continue on this path, and calls for a return to an automatic adaptation of the tax rate to inflation.