What happened? The German government approved the following measures to stimulate the German economy. To accomplish this, it has decided on a ''draft law for a tax investment stimulus program to strengthen Germany as a business location'' with the main pillars: . Incentive for new investments: A 30% annual depreciation booster for equipment investments will benefit all companies and is easy to implement. This accelerated depreciation applies to investments made from July 1, 2025, to December 31, 2027. The new degressive depreciation allows companies to deduct 30% of the acquisition costs in the year of purchase, with additional 30% deductions in the subsequent years. Typically, companies depreciate newly acquired machinery, equipment, or vehicles linearly over the years of their useful life. . Reduction in corporate tax: The corporate tax will be gradually reduced starting in 2028, decreasing by 1% annually over five years, from 15% to 10%. By 2032, the overall tax burden will be approximately 25%, down from the current 30%. . Corporate e-mobility: An investment booster for corporate e-mobility will promote the use of electric vehicles in businesses. Companies can depreciate 75% of the acquisition costs for electric vehicles in the year of investment. This regulation applies to electric cars purchased between June 30, 2023, and December 31, 2027. Additionally, the gross price limit for special tax incentives for electric company cars will increase from EUR70,000 to EUR100,000. . Expansion of research allowance: To encourage investment in research, the research allowance will be expanded. From 2026 to 2030, the upper limit for determining the tax research allowance will increase from ten to twelve million euros. Eligible applications will be broadened, and flat-rate deductions will simplify procedures and reduce bureaucracy. This is the link to the document (German only): Kabinett beschlieBt Investitions-Sofortprogramm | Bundesregierung BNPP Exane...