About this article
Published Online: Oct 25, 2024
Page range: 711 - 718
DOI: https://doi.org/10.2478/wd-2024-0181
Keywords
© 2024 Sebastian Schultis et al., published by Sciendo
This work is licensed under the Creative Commons Attribution 4.0 International License.
In 2021, the Federal Fiscal Court pointed out to the legislator that future pensioners could be affected by potential double taxation due to deferred taxation. The Growth Opportunities Act passed in April 2024 now implements a flat-rate solution to avoid double taxation, extending the transition period until 2058. The results show, based on generational accounting, that this flat-rate solution has little impact on the sustainability of public finances. However, it leads to a considerable intergenerational redistribution at the expense of future generations.