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Merz Unveils 34-Point Package to Cut Taxes and Raise Retirement Age

Chancellor Friedrich Merz's coalition unveils a 34-point reform package focused on income tax relief, pension changes and deregulation to jump-start growth.Small and middle incomes receive tax relief beginning in 2027, with full effects phased by 2028 and about €10B a year funded by restructuring the wealth tax and raising the mini-job flat tax from 2% to 5%.Coalition negotiators in a Sherpa group present the package as an investment-friendly effort to ease pressure on industry; Dietmar Woidke and Martina Klement call for fast execution while critics say the measures are modest.
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