Everyone against everyone
A whiff of election campaigning wafts through parliament
Everyone against everyone is currently the motto in the National Council. In the first of two sessions this week, it was clear that the election campaign is already underway. The debate on taxes and inflation got off to a heated start. However, the opposition at least agreed that the government had reacted incorrectly to inflation. The housing package also caused heated debates.
The NEOS had set the topic of taxes for the "Aktuelle Stunde". Club leader Beate Meinl-Reisinger pointed out that the coalition had fallen short of the targets it had set itself in terms of the tax ratio. As a result, citizens were paying 16 billion euros more in taxes than promised - "thanks to their bad policies".
After more than two years, it has still not succeeded in reducing the inflation rate in Austria, which is significantly higher than in most European countries. Instead, the "big watering can" has been unpacked under the motto "whatever the cost" and "people have been showered with money". This has of course massively fanned inflation, according to the pink frontwoman. She demanded a significant reduction in non-wage labor costs from Finance Minister Magnus Brunner (ÖVP) in order to keep more net from gross.
SPÖ warns against cuts to the welfare state
This displeased the SPÖ in particular. Its deputy leader Julia Herr said: "Whoever makes cuts there will also make cuts to the welfare state." Turning to the government, Herr said that it had not done nothing to combat inflation, but not enough and not the right thing. Otherwise, 25 other EU countries would not be in a better position. Once again, the SPÖ mandate holder called for state intervention, for example through a rent freeze.
The government's policy has led to rents being increased by up to 25 percent in the last two years. Lending rates have also exploded as a result, leading to record excess profits for the domestic banking sector.
Philip Kucher
Bild: APA/EVA MANHART
Even the government's highly praised housing package did not include a single measure for affordable housing, said SPÖ parliamentary group chairman Philip Kucher. "Anyone who believes that this government package will make housing more affordable is sadly mistaken. It does not include a single measure for affordable housing." The Social Democrats reluctantly agreed to the package.
Freedom Party between SPÖ and NEOS
The Freedom Party did the same, but sided with the NEOS on tax issues. "Of course" the FPÖ wanted to reduce ancillary wage costs, emphasized former State Secretary Hubert Fuchs. With the Freedom Party, there would also be no wealth or inheritance taxes. Nevertheless, the ÖVP is already preparing an inheritance tax for a "standstill coalition" with the SPÖ. In general, Fuchs is not on good terms with the People's Party. Against them, even the Social Democrats are "real austerity hawks".
Finance Minister Magnus Brunner (ÖVP) let the opposition's attacks roll off his back, as did the Greens' budget spokesman Jakob Schwarz later on. The two preferred to talk about the various aids that had been granted and also drummed up the "de facto abolition" of "cold progression".
However, there is not a common denominator in the coalition everywhere. Brunner would also like to see a capital gains tax exemption established after "a certain retention period". This would be good for pensions and would strengthen the capital market.
The issue of taxes will come to the fore again in the election campaign
The finance minister has so far been rebuffed by his coalition partner with this request, as have the Greens with their demand for greater wealth taxation. However, the Greens also apparently want to keep their issue on the agenda. Schwarz emphasized an imbalance between taxes on work and wealth. The Greens are therefore calling for a tax on inheritances worth millions.
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