Tax rear-end collision threatens after negative advice from the Council of State on adjustments to box 3

The Council of State advises delaying the introduction of a new wealth tax until 2030 due to significant political and financial challenges. The government's proposal to change wealth taxation faces a €18 billion revenue gap and lacks political support. A negative assessment from the Council highlights procedural and financial issues with the rushed legislative process. The government is struggling to find a majority for its tax plan, which is linked to the wealth tax changes. Failure to resolve these issues could lead to broader fiscal consequences and hinder other tax proposals.