The German government intends to tighten its measures to combat tax evasion, with Finance Minister Lars Klingbeil and Justice Minister Stefanie Hubig presenting a new action plan to that end in Berlin.
The plan calls for the creation of a "Joint Centre to Combat Tax and Financial Crimes" within the customs administration, modelled on the existing joint counter-terrorism centre, with the aim of consolidating efforts to analyse, investigate, and prosecute money laundering and tax crimes.
Klingbeil, who also serves as deputy to Chancellor Friedrich Merz, said: "Anyone who defrauds our state and our society must not go unpunished." The Social Democratic Party leader added: "We want offenders to face tougher penalties in the future," noting that the plan aims to unify the responsibilities of government agencies in order to enhance their operational capacity in combating such crimes.
For her part, Hubig said that "tax crimes harm all of us — they undermine trust in the fairness of the rule of law." The minister, who also belongs to the Social Democratic Party, added: "Citizens must be able to trust that the rules apply to everyone," stressing the need for the state to make progress in the fight against tax crimes.
The proposed action plan would abolish the principle that grants immunity from punishment simply through voluntary self-reporting of tax violations. Both ministers emphasised the need to prevent criminals from "buying their freedom" so easily. The plan also provides for stiffer penalties in serious offences and expanded access to data to track down perpetrators of tax evasion.