Draft laws that are far from practical, more and more bureaucracy and a lack of willingness to communicate on the part of the Federal Ministry of Finance - from the point of view of the tax consultants, a lot is currently not going smoothly in the cooperation with the house of Finance Minister Christian Linder (FDP).

"Our partnership is sometimes a bit one-sided," criticized Torsten Lüth, President of the German Association of Tax Advisors, at the start of the German Tax Advisors' Conference in Dresden.

Katja Gelinsky

Business correspondent in Berlin

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Lüth warned that tax consultants and their clients urgently need more planning security.

The head of the association criticized the tight deadlines and disproportionately complex test procedures.

The consequences can be felt in connection with the Corona economic aid, the short-time work allowance, the property tax reform and the various relief packages from the federal government.

It was difficult to get politicians to extend the deadlines for tax returns from 2020 to 2024.

In addition, financial relief in the energy crisis led to additional burdens elsewhere, Lüth complained.

An example of this is the 300-euro energy price lump sum from the first relief package.

The head of the association reminded that the original plans of the Ministry of Finance to pay out the energy price flat rate would have meant a long-term withdrawal of liquidity for many employers.

More practical regulations required for mass proceedings

The legislature then adjusted to the protests.

But the amount of work that the lump sum also entails for the payroll departments is nevertheless enormous: "Each payslip has to be dealt with individually."

The association president also sharply criticized the finance ministry's plans to speed up the tax audit.

The main points of criticism are the stricter duties of taxpayers to cooperate and the threat of fines in the event of delays: "Instead of relying on cooperation, new threats are being created here." From the tax consultant's point of view, it would be more helpful to take a look at the audit strategy in the administration.

As a negative example, Lüth mentioned the 15-page catalog of questions from a tax auditor who wanted to know from a self-employed person, among other things, how postage costs of 142 euros are made up.

In the case of mass proceedings in particular, tax consultants want more practical regulations.

For example, the association is demanding minimum limits for pandemic-related applications for short-time work benefits.

The industry is getting backing for its demand for simplifications from the new CEO of the Federal Employment Agency, Andrea Nahles.

However, Lüth criticized her successor in the office of Federal Labor Minister, Hubertus Heil, (SPD) for ignoring the appeals.