Guest commentary: Germany must finally put people and machines on an equal footing in terms of taxation
In Germany, innovation and technology transfer from research to the economy are too often dependent on state subsidy programs, writes Marie-Christine Ostermann.
Germany's Minister of Economic Affairs Katherina Reiche has halted applications for funding under the Central Innovation Programme for Medium-Sized Enterprises (ZIM) due to the fund being fully utilised. Many applicants will miss out on funding this year. The country's innovation and technology transfer rely heavily on state funding programmes.
Instead of creating new funding pots, the government is urged to strengthen companies' self-financing capabilities, particularly for medium-sized enterprises that often bridge the gap between research and market. A modernisation of tax law to extend investment deductions to intangible assets could help entrepreneurs invest in future technologies.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
