Klingenberg saves the household: no trade tax increase!

Klingenberg saves the household: no trade tax increase!

Klingenberg, Deutschland - The financial situation is on the agenda in Klingenberg. After intensive discussions, the municipal council decided to have a double budget for the years 2025 and 2026, which goes hand in hand with a felt balancing act. The planned expenses amount to 16.5 million euros for 2025 and 16.6 million euros for 2026, while the income is just 15.8 million euros (2025) and 15.9 million euros (2026). To compensate for the deficit, the reserves are used, which Mayor Torsten Schreckenbach notes. He emphasizes that the budget could be adopted despite the challenging financial framework, especially with regard to the tax revenue. According to the article by sächsische.de The majority of the municipal council also dispenses with an increase in the tax rate for trade tax, which should benefit the entrepreneurs in Klingenberg.

But Klingenberg has to fight with an additional financial challenge: the municipality has to repay around three million euros in trade tax. This repayment comes like a shock, but Mayor Ralf Reichwein confirms that the reserves are sufficient to stuff the household hole. In a meeting of the main and finance committee, it was decided to use reserves to close the financial gap, such as Primavera24 In order to minimize the reserves consumption, various savings options are checked, including insurance, IT and telephone costs as well as further training measures.

budget planning and future prospects

As part of the discussion about the double budget, there were also applications to support daycare centers and after-school care, which applied for an increase in budget for increased operating and personnel costs. Frank Hannawald from the AfD had proposed this in order not to increase the parents' contributions. However, his amendments, which included an adaptation of the rate for trade tax on the Saxon average, were rejected. With two votes against nine votes against and three abstentions.

The financial decisions of Klingenberg also have a broader dimension if you look at the basics of local finances. The municipal income is made up of various sources, including from municipal taxes such as trade tax, which is currently being tested. In the abundance of municipal expenses, the need for transfer expenditure that is prescribed by law and strongly influence the financial possibilities of the municipalities, as on wikipedia

The coming months will be decisive for Klingenberg because one has to face the financial challenges and responsibility towards the citizens. Mayor Schreckenbach warned of excessive expenses in order not to endanger the financial stability of the community. The political and economic situation remains exciting, and it remains to be seen which measures the municipality will take to cope with the financial difficulties.