When the solidarity surcharge was introduced in 1991, it was primarily used as a supplementary tax to finance reunification. The amount of the solidarity surcharge is 5.5 % of income or corporation tax.

Since 2021, only higher earners have had to pay it: for taxable income above 73,483.00 euros (single persons) or 146,966.00 euros (couples) per year. Currently, only 10 % of taxpayers still pay it. Nevertheless, the state still collects more than 12 billion euros per year through the solidarity surcharge.

Now the Federal Constitutional Court has ruled:

✔️ This is constitutional and may continue to be levied.

✔️ There are still structural differences between East and West.

✔️ However, it may not apply indefinitely, but must be abolished if the reason for its collection ceases to exist.

✔️ The limitation to high earners is also constitutional.

In a nutshell: Nothing changes.

And if you are one of the 10 % solidarity tax payers: Let's work out together whether your tax strategy can be optimized.

👉 Get in touch with us. We will be happy to assist you with your tax questions and concerns: https://wsb-berater.com/kontakt

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