Reverse farm diesel cuts, allow tax-free climate reserve
The CDU wants to push at the federal level for a full reversal of the cuts to the tax refund on agricultural diesel. Farms are also to be allowed to build tax-free reserves for climate-related swings in yields.
Farmers get less tax back on diesel than before. The CDU wants to fully undo this cut. Farmers should also be allowed to save money tax-free. This should help them get through years with bad harvests.
In the CDU's view, the agricultural diesel refund offsets competitive disadvantages compared with neighboring European countries, which is why it considers the cuts wrong. The tax-free climate reserve is meant to help farms prepare for yield fluctuations caused by climate change. In low-yield years they would then depend less on state emergency aid. The CDU intends to pursue both plans at the federal level.
Show the original quote (page 15)
„Kürzungen beim Agrardiesel zurücknehmen.“Translation: Reverse the cuts to agricultural diesel.
Placement
- Economyleaning more market
Reversing the cut and allowing a tax-free reserve lower farms' tax burden compared with today.
- Climateleaning growth first
The tax break for fossil diesel is to be restored because competitiveness is given priority.