AfD on finance and taxes

The AfD wants Berlin to push in the Bundesrat for an end to the Grundsteuer (property tax). The federal government would compensate municipalities for the lost revenue. The platform justifies this as relief for owners and for tenants, who pay the tax through their utility charges.

The AfD wants to get rid of the property tax. Owners pay this tax for their land. Tenants pay it too, through their extra housing costs. The federal government should give cities the missing money.

The platform calls ancillary housing costs a second rent and names the property tax as a major part of them. It burdens owners directly and tenants through the pass-through in utility charges. Berlin would therefore work in the Bundesrat for complete abolition. The federal government would make up the municipalities' revenue losses.

The AfD wants to lower the Gewerbesteuer (local trade tax) and scrap carbon pricing for commercial real estate. The "City Tax" on overnight stays would be abolished and the air travel tax reduced. The platform cites more investment and the lasting effects of COVID policy on tourism, retail and restaurants.

The AfD wants lower taxes for businesses. The tax on hotel stays should end. Flying should be taxed less. Businesses should no longer pay a carbon price for their buildings.

According to the party, tax policy should favor businesses and investment. Besides a lower trade tax, the platform calls for ending burdens it regards as ideologically motivated, including the carbon price on commercially used buildings. For tourism, retail and restaurants, the bed tax would go, environmental and bureaucratic requirements would be rolled back, and the air travel tax would be cut. The AfD argues that these sectors still suffer from the COVID measures and that Berlin's air traffic remains below its earlier level.

The AfD wants to gradually reduce Berlin's investment backlog, which it puts at 35 billion euros. The money would go to schools, transportation, administration and infrastructure. There would be no new climate or gender projects.

Berlin lacks a lot of money for schools, roads and public offices. The AfD says the gap is 35 billion euros. It wants to close this gap step by step. New climate projects and gender projects should get no more money.

The platform cites a backlog of 35 billion euros in schools, transportation, administration and public infrastructure. It is to be reduced in a targeted way and in stages. The party contrasts this spending with what it calls symbolic politics and rules out further projects on climate and gender.

The AfD calls for a comprehensive audit that shows all of Berlin's financial obligations in a single overall balance sheet. This includes off-budget funds, the debts of state-owned companies and future pensions. Core tasks should not be shifted to state-owned companies to get around budget rules.

The AfD wants to show all of Berlin's debts openly. This includes debts of companies the state owns. Future pensions for civil servants should count too. The state should not hide debt in its companies.

Off-budget funds, special funds and reserves are to be brought together, and the liabilities of state-owned companies recorded. Loans, guarantees, shareholder contributions and capital increases are to be disclosed with their purpose, risk and budget impact. The platform rejects so-called debt cascades, in which the state gives companies loan-financed equity so they can borrow more. Pension obligations are to be calculated regularly and backed by adequate reserves. The AfD justifies this with parliamentary oversight and fairness between generations.

The AfD wants to strictly apply the debt brake again and anchor it in Berlin's constitution. Within four years the budget is to run without a deficit, and debt is to be paid down afterward. In the party's view, a firm debt rule protects taxpayers and limits interest rate risks.

The debt brake limits new government debt. The AfD wants to write it into Berlin's constitution. In four years Berlin should take on no new debt. After that Berlin should pay back old debt. Taxes should only fall once the budget is sound.

Berlin is not to use the new borrowing leeway that the Basic Law gives the states, which the platform puts at 0.35 percent of economic output. A binding path for repayment and consolidation is to be added. Loans should only be possible in exceptional situations and must not permanently finance short-term relief. After balancing the budget within four years, the AfD wants to reduce liabilities systematically. Relief measures and tax cuts are to come only on the basis of sound budgets.

The AfD wants to systematically review all state spending and limit it to the core tasks of government. Organizations that it believes run political campaigns should no longer receive tax money. The platform sees Berlin's problem mainly in spending and priorities, not in revenue.

The AfD wants to check all of Berlin's spending. Programs with no clear benefit should end. Berlin should only pay for the most important tasks. The AfD says some groups do politics. These groups should get no more tax money.

The plan is a review of tasks and spending across all departments, a so-called spending review. The criteria are necessity, effectiveness, cost efficiency and follow-up costs; cost-benefit assessments are to become mandatory. Funding for structures the platform describes as politically active front organizations is to end in order to restore state neutrality. According to the AfD, saving serves to secure core tasks and investments without new debt.

The AfD wants to direct state investment primarily toward preserving existing infrastructure and keeping it working. It rejects large loan-financed programs because, in its view, they burden the budget permanently. Fixed rules are to apply to special funds, federal money and major projects.

Berlin has many buildings and facilities to repair. The AfD wants to spend money on that first. Police, fire services and digital government also matter to it. The AfD rejects big programs paid for with loans. The state should check big projects carefully before they start.

The platform puts the public sector's investment backlog at well over 100 billion euros. Special funds and federal money are to be used only for projects that are demonstrably additional, not to refinance tasks already planned; reliable project lists and documentation are required. For major projects, benefit, cost, feasibility, follow-up costs and risk are to be examined before the decision is made. Every investment is to be part of a sustainable financing plan.