Reforms are a matter of freedom

The DP parliamentary group fully supports the major reforms to taxation, child benefit and childcare that will soon come into force.

The liberal principles underpinning the major tax reform, a longstanding DP demand, reflect the conviction that everyone is entitled to equal tax treatment, explains MP Patrick Goldschmidt: “One of our fundamental principles is that people should decide for themselves how they want to live, without facing a tax disadvantage as a result. Whether they are married, in a civil partnership, divorced, single or widowed.”

This major tax reform, the first since 1967, simply adapts the system to people’s lives, which have changed considerably over recent decades. The principle of progressive taxation remains unchanged, meaning that people on higher incomes will continue to pay more than those on lower incomes. The DP parliamentary group particularly welcomes the fact that no taxpayer will lose out from 2028 onwards, while most will be better off. The reform comes at a cost, but will also have positive effects on consumption, tax revenues, the country’s attractiveness and employment.

The reform of family benefits — child benefit and childcare vouchers —, due to take effect by 2027, also has the full support of the DP parliamentary group. MP Mandy Minella welcomes its social dimension, which provides greater support for parents on lower incomes: “Child benefit is not social assistance, however. It recognises the work and responsibility of all parents.”

For MP Barbara Agostino, these improvements are firmly focused on children and equal opportunities. They will reduce costs for parents by €79 million a year. The system is adapting to realities on the ground, rather than the other way around. In childcare settings, for example, staff will have more time to care for children: “Time is the most precious thing we can give children.”

Taxation, families, children

All these reforms go hand in hand, MP Corinne Cahen emphasised: “The tax reform makes the rules more neutral towards different ways of living. Child benefit supports families directly. And childcare vouchers make quality childcare more affordable.” These measures all serve children’s interests. For the DP, a child’s opportunities should not depend on the family they are born into or their parents’ income. It is therefore right and essential to support directly where it can make an immediate difference.

Share:

Facebook
Twitter
LinkedIn
Email
WhatsApp

More News

Citizen Dialogue in Vianden

For just over two hours, members of the public discussed the region’s future and the challenges facing our country with Ministers Xavier Bettel and Eric Thill and northern constituency MPs André Bauler and Marc Hansen.

read more...