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Tax revenues of Germany and of the 16 federal states sunk by 23.5% in April. It declined by a total of 39 billion euros ($43 billion) as the coronavirus pandemic ravages the country’s economy, the finance ministry’s monthly report showed on Friday.
Europe’s biggest economy is receding further. This appeared to be the worst downturn since World War Two as lockdown restrictions disrupted business operations, completely restricting economic progress.
Recent readings indicated the weight of the situation, hinting that it will press further over the next months, the ministry said. This prompted the government to render a stimulus package worth more than 750 billion euros in a bid to minimize the impact of the coronavirus.
The report showed a sharp decline in revenues, with income, corporate, and air traffic taxes suffering the most. The pandemic began dragging tax revenues in March as it now accelerates in unprecedented pacing.
KYC Policy