German tax revenue seen rising, helping new government

BERLIN (AP) — The German government’s tax income over the next few years is expected to be considerably higher than previously forecast as Europe’s biggest economy recovers from the coronavirus pandemic. The figures released Thursday could help the incoming government as negotiators tackle the thorny issue of how to finance the plans of a prospective three-party coalition led by center-left Social Democrat Olaf Scholz. He is the finance minister and vice chancellor in outgoing Chancellor Angela Merkel’s government. An updated forecast by tax experts for the government predicted that the government’s tax take from this year through 2025 will be an average of over 35 billion euros ($40 billion) per year higher than predicted in May.