Erndtebrück cheers: Record trade tax revenue for 2025!

Erndtebrück cheers: Record trade tax revenue for 2025!

Holzhausen, Deutschland - The city of Erndtebrück can look forward to high trade tax revenue, as Mayor Henning Gronau announced in a meeting of the council. For 2025, the forecast income will be estimated at impressive 29.6 million euros. This is a considerable plus compared to the previous budget approaches.

The expected income comes from around 16.8 million euros from one -off effects. Without these special factors, the trade tax volume is 12.8 million euros and thus clearly exceeds the original budget approach of 6.9 million euros.

Financial package for new measures

The importance of trade tax has increased significantly in recent years. In 2023, the income from trade tax in Germany achieved a preliminary maximum of 75.1 billion euros, which corresponds to an increase of 6.9 % compared to the previous year. As early as 2021 and 2022, there were record income, which makes trade tax a central economic factor for many cities and municipalities, as commercial.net

Despite these positive numbers, Helmut Dedy, general manager of the German City Day, expresses concerns about the limited scope for additional municipal tasks. To classify the medium -term development of tax revenue as worrying, clarifies that Germany may face stagnating economic growth.

challenges for the municipalities

The financial challenges should not be underestimated. In the first half of 2024, the total budget of the municipalities and municipal associations shows a financing deficit of 17.3 billion euros, since the income of 168.4 billion euros does not cover the expenditure of 185.7 billion euros. Forecasts for trade tax revenue 2024 and 2025 also indicate a decline, which reinforces the challenges for municipal finances.

In the current discussion, it is required that the municipalities are granted more freedom of investment in order to improve the infrastructure and framework conditions. The positive development in Erndtebrück could thus be both a ray of hope and an impetus for further necessary reforms in municipal financial policy.