German newspaper Frankfurter Allgemeine Zeitung reported on Saturday that:

  • Germany’s tax revenues are likely to rise more than expected in 2013 and beyond
  • Tax revenues have been boosted by a solid labor market and robust wage increases
  • Could be more than 3%higher than last year, with gains gonitnuing

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Increased tax revenue could influence coalition talks. Merkel may will push for a reduction in Germany’s debt level to below 60% of GDP within 10 years (current 81%), but SPD may seek increased spending in infrastructure investment

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