Bavarian Minister-President Markus Söder (CSU) has declared the relief bonus of 1,000 euros for employees a failure. In an interview with ARD's "Bericht aus Berlin," he stated, "I believe it is off the table." The bonus was originally intended to allow employers to pay their employees up to 1,000 euros tax-free as relief until June 30, 2027.
The Federal Council stopped the initiative because only four out of 16 federal states agreed. Söder expressed that he had assumed prior agreements with the business community, which turned out to be incorrect. The states were dissatisfied with the financing of the bonus, leading to significant opposition.
The relief bonus was conceived as a well-intentioned idea but faced substantial criticism from the business sector. It is currently unclear whether the federal government will call for a mediation committee between the Bundestag and the Federal Council to find a compromise. The issue will be discussed on Tuesday in the coalition committee of the CDU and SPD.
Source: www.zeit.de
