Higher taxes on lease and rent detrimental to SME

With about 50 billion Euros the leasing industry is the biggest investor in Germany. As was reported by the dpa subsidiary news aktuell, the chairman of the Bundesverbandes Deutscher Leasing-Unternehmen e.V. (BDL), Mr. Horst-Günther Schulz, strongly criticized the plans of the Federal Minister of Finance, Peer Steinbrück, who wants to increase trade taxes on lease and rent payments.

According to Mr. Horst-Günther Schulz such increases were detrimental to the upswing of the economy and would prevent investment urgently needed in particular among small and medium-sized entities (SME). One out of four investments in equipment was meanwhile made on a lease basis. In their coalition agreement the political parties of CDU/CSU and SPD had still talked of an investment offensive. What they are doing now, however, according to his words, was a investment prevention offensive.

According to the estimates of the BDL, the changes planned would lead to additional tax burdens on industrial rent and lease agreements. This would have a particularly negative effect on the processing and service industry as well a trade, which are the major clients of the leasing sector. “The plans would have particularly dramatic consequences for small and medium-sized entities, since these companies make particularly extensive use of leasing”, criticized Mr. Schulz. GERMAN