German minister plans huge tax cuts: report

German Economy Minister Michael Gloss is planning huge tax cuts totalling 25 billion euros (31 billion dollars) to ease the effects of the global economic crisis, a report said Saturday.

According to the edition of the weekly Focus to be published Monday, Gloss wants a rapid decision from the government on the measures, which would assist those on the lower end of the pay scale and the middle classes.

The tax cuts would save a single person earning 20,000 euros a year 477 euros, while a couple with two salaries totalling 56,000 euros in total would gain 1,696 euros, the report said.

In a letter to his conservative Christian Social Union (CSU) party chief Horst Seehofer, Glos said he wanted a decision before parliamentary elections next September.

Chancellor Angela Merkel and her Christian Democrats (CDU) are opposed to their allies' call for tax cuts, and the question is expected to figure in the CDU's congress which begins Monday.

According to the weekly Der Spiegel, however, the Christian Democrats are beginning to weaken.

It quoted the CDU head of the regional government in Saarland, Peter Mueller, as saying the electorate should expect tax reductions during the current parliamentary term.