German Government Proposes Reduction of Craftsman Tax Deduction
Daily Monitor
July 27, 2026
German Government Proposes Reduction of Craftsman Tax Deduction
The German government plans to reduce the craftsman tax deduction from 20% to 15% of labor costs, impacting homeowners’ tax savings.
This proposed change will result in a potential loss of up to 300 euros in annual tax savings for homeowners. The adjustment reflects a broader fiscal strategy aimed at reallocating resources, though it may disproportionately affect those relying on home improvement services. A detailed example calculation illustrates the financial implications of this policy shift.
For journalistic integrity, this report was summarized from: rnd.de
