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Coalition Sets Vote This Week on Allowing Union Dues Tax Deduction

The amendment cites unions' central role in Germany's social order, projecting €160 million in annual revenue losses from 2026.

Overview

  • Union and SPD propose letting members deduct trade‑union dues in addition to the standard employee allowance of €1,230.
  • The plan sits in a coalition amendment to the tax‑change bill obtained by Politico and reported by WELT.
  • Higher tax‑privileged caps for party donations are included, rising to €6,600 for married couples and €3,300 for singles.
  • Bonuses for Olympic and Paralympic athletes from the Deutsche Stiftung Sporthilfe would be tax‑free, with payments reported to reach up to €20,000.
  • A Bundestag decision is expected this week, with fiscal effects scheduled to begin in 2026 if the changes pass.