WEBVTT 00:00.480 --> 00:06.648 Why are Germany's billionaires getting richer and richer while the general population is becoming poorer? 00:06.648 --> 00:12.691 Most people are aware that a few individuals own a great deal, while the majority of the population is finding it 00:12.691 --> 00:15.816 increasingly difficult to make ends meet on their earnings. 00:15.816 --> 00:25.545 Specifically, the distribution of wealth in Germany is such that the number of billionaires rose significantly last year—by 00:25.545 --> 00:31.562 more than a third, according to *Managermagazin*, to 172. 00:31.562 --> 00:35.044 This makes Germany home to the fourth-largest number of billionaires worldwide. 00:35.044 --> 00:38.630 They own at least 1.4 trillion euros. 00:38.630 --> 00:45.824 A German billionaire earns the average annual income of a working employee in less than an hour and a half. 00:45.824 --> 00:49.525 At the same time, about one in five Germans lives in poverty. 00:49.525 --> 00:53.830 In addition, there are also about 3,900 “ultra-wealthy” individuals in Germany. 00:53.830 --> 00:58.317 These are individuals with a net worth of more than $100 million each. 00:58.317 --> 01:02.746 Germany also ranks third worldwide in terms of the “ultra-wealthy.” 01:02.746 --> 01:08.639 The wealthiest 0.007% of Germans own a quarter of the country's financial assets. 01:08.639 --> 01:12.780 1% of the population—that is, all of Germany's millionaires—actually own more 01:12.780 --> 01:15.942 than half of the country's financial assets. 01:15.942 --> 01:25.088 In 2024, the poorest 50% of the population in Germany accounted for just 3.4% of total wealth. 01:25.088 --> 01:28.057 So the question is: Why is that? 01:28.057 --> 01:33.195 Is there a reason for this massive and unfair distribution of wealth? 01:33.195 --> 01:41.459 In the following, Kla.TV highlights key factors and trends that are responsible for this "rich-poor divide." 01:41.459 --> 01:50.167 1. Unfair Taxation Germany is known for its very high taxes on earned income. 01:50.167 --> 01:57.446 Compared to other European countries, Germans pay some of the highest taxes and social security contributions on earned income. 01:57.446 --> 02:05.733 According to calculations by Netzwerk Steuergerechtigkeit, the average middle-class family pays 43% of its gross income. 02:05.733 --> 02:10.686 Singles are even taxed at an average rate of 48 percent. 02:10.686 --> 02:14.169 In Europe, only Belgium surpasses this figure. 02:14.169 --> 02:19.488 For the super-rich, however, a completely different tax code applies, and their tax rate 02:19.488 --> 02:23.199 has continued to fall over the past 30 years. 02:23.199 --> 02:31.182 This is because they live primarily off investment income, and numerous tax breaks have been created for them. 02:31.182 --> 02:38.795 As a result, according to a study by “Netzwerk Steuergerechtigkeit,” the tax rate on undistributed 02:38.795 --> 02:48.943 corporate profits, for example, has nearly halved since 1996, dropping from 57% at that time to 30% today. 02:48.943 --> 02:54.441 Unfortunately, however, this tax rate—which is already very low—is only theoretical! 02:54.441 --> 03:01.732 For many years now, the establishment of subsidiaries in so-called tax havens has led to a sharp decline in tax rates—particularly 03:01.732 --> 03:05.923 for companies operating internationally—around the world. 03:05.923 --> 03:10.464 As a result, the government loses billions in tax revenue each year. 03:10.464 --> 03:17.041 At the same time, the super-rich have managed to “hide” approximately 7.6 trillion U.S. 03:17.041 --> 03:22.051 dollars untaxed in tax havens around the world! 03:22.051 --> 03:29.051 They are also legally permitted to transfer their business and investment income—for example, to a 03:29.051 --> 03:33.791 foundation or a corporation—and accumulate it there. 03:33.791 --> 03:41.962 In this way, the tax that would normally be due—48.5%—is reduced by more than half, while at the same 03:41.962 --> 03:47.561 time the saved capital generates additional returns! 03:47.561 --> 03:57.989 In addition, with the help of large tax firms, the super-rich are often able to further reduce the tax rate on investment income. 03:57.989 --> 04:06.021 Through legal loopholes, complex tax-saving strategies, and aggressive tax planning, it is even possible in 04:06.021 --> 04:11.427 some cases to reduce the tax rate to less than 1 percent. 04:11.427 --> 04:16.462 The consequences of all these tax tricks and schemes for the German government—and 04:16.462 --> 04:19.506 thus also for ordinary taxpayers—are serious. 04:19.506 --> 04:25.998 According to an estimate by the German Institute for Economic Research (DIW), revenue losses in Germany 04:25.998 --> 04:33.705 due to tax avoidance by corporations alone amount to as much as 30 billion euros per year. 04:33.705 --> 04:40.821 In addition to the tax breaks just mentioned, the “Tax Justice Network” has denounced a whole range of other 04:40.821 --> 04:45.408 regulations that result in low tax rates for the super-rich. 04:45.408 --> 04:52.221 This also applies to the elimination of the wealth tax and the exemption from the inheritance tax. 04:52.221 --> 05:00.903 2. Abolition of the wealth tax The reason the wealth tax is no longer levied today is as follows: 05:00.903 --> 05:07.525 For a good 100 years, Germany had a wealth tax that brought billions into the government’s coffers. 05:07.525 --> 05:14.380 But in 1997, she was suddenly "abandoned." How did that happen? 05:14.380 --> 05:22.420 In 1995, the Constitutional Court justices criticized the fact that property owners were paying too little property tax. 05:22.420 --> 05:27.921 However, since the asset valuation was no longer up to date, the black-yellow coalition government at the time would have 05:27.921 --> 05:32.007 had to revalue the assets in order to establish fair tax rates. 05:32.007 --> 05:36.609 However, then-Chancellor Helmut Kohl failed to carry out the requested reassessment. 05:36.609 --> 05:43.606 And that ultimately led to the complete elimination of the wealth tax in 1997. 05:43.606 --> 05:49.926 So, instead of righting the wrong, an even greater one was created through the back door. 05:49.926 --> 05:55.910 Thus, this tax policy—which remains in effect to this day—provides relief to the wealthy. 05:55.910 --> 06:02.340 3. The super-rich don’t pay inheritance tax Once you’ve made it into this league of the 06:02.340 --> 06:06.390 super-rich, you’re exempt from inheritance tax in Germany. 06:06.390 --> 06:14.325 80% inherited their wealth. However, under certain conditions, the heir does not have to pay inheritance tax. 06:14.325 --> 06:17.525 These "loopholes" are generally exploited successfully. 06:17.525 --> 06:23.094 In 2016, with the support of Ministerial Counselor Gerda Hofmann, a new law was introduced: the “exemption 06:23.094 --> 06:26.920 needs assessment” (Section 28a of the Inheritance Tax Act). 06:26.920 --> 06:32.256 This law grants the ultra-wealthy an exemption from inheritance tax. 06:32.256 --> 06:39.764 According to a report by the federal government, ten foundations were granted a total of 614 million euros 06:39.764 --> 06:47.294 in inheritance tax exemptions in 2024 through the so-called exemption needs assessment. 06:47.294 --> 06:54.171 The shocking part is this: Gerda Hofmann, a top official under former Finance Minister Lindner, actually 06:54.171 --> 06:58.132 advised Germany's super-rich on how to avoid taxes. 06:58.132 --> 07:04.655 On the one hand, Hofmann was responsible for issues such as inheritance and wealth taxes; on the other hand, he 07:04.655 --> 07:10.239 advised high-net-worth individuals on potential tax loopholes. 07:10.239 --> 07:15.223 However, she is not the only employee at the Ministry of Finance with such side jobs. 07:15.223 --> 07:22.260 It is alarming that this misconduct by a high-ranking official had no criminal consequences; instead, she was 07:22.260 --> 07:26.969 simply reassigned to a different position within the ministry. 07:26.969 --> 07:31.609 Politically speaking, it would certainly be possible to close all these unfair loopholes in the law 07:31.609 --> 07:35.424 in favor of the poorer segments of the population. 07:35.424 --> 07:42.898 However, it is hard to deny that for decades, German chancellors and top politicians have been making decisions that have caused 07:42.898 --> 07:46.765 the gap between the rich and the poor to widen even further. 07:46.765 --> 07:53.850 But why do they act this way? Is it just a coincidence, or are they actually among those driving this 07:53.850 --> 07:58.665 redistribution of wealth from the poor to the rich? 07:58.665 --> 08:01.296 Here is a telling example: 08:01.296 --> 08:09.340 Lobbyists exert massive influence on politicians in Germany, the EU, and the U.S. alike. 08:09.340 --> 08:16.728 Political scientists Thomas Leif and Rudolf Speth even view lobbying as the “fifth branch of government” in Germany. 08:16.728 --> 08:25.409 According to a study published in 2024 by the association Bürgerbewegung Finanzwende e.V., the financial industry—that is, 08:25.409 --> 08:30.321 the super-rich—spends the most money on lobbying in Germany. 08:30.321 --> 08:38.239 A total of 456 lobbyists from the financial industry influence the 42 members of the Finance Committee, with 08:38.239 --> 08:43.105 annual lobbying expenditures exceeding 36 million euros. 08:43.105 --> 08:49.009 In addition, the financial sector makes annual donations totaling millions to Germany's major 08:49.009 --> 08:54.181 political parties, such as the CDU, CSU, SPD, and FDP. 08:54.181 --> 08:58.640 The Cum-Ex scandal shows just what this lobbying by the super-rich is capable of. 08:58.640 --> 09:03.781 The "Cum-Ex" transactions are considered the largest tax fraud in German history. 09:03.781 --> 09:12.278 Between 2001 and 2011, the perpetrators repeatedly obtained refunds of capital gains taxes—taxes that had never been paid in 09:12.278 --> 09:17.080 the first place—under the pretext of a “loophole” in the law. 09:17.080 --> 09:22.688 The damage to the German population is estimated at 10 billion euros. 09:22.688 --> 09:30.619 The driving force behind the investigation into the Cum-Ex scandal was Senior Public Prosecutor Anne Brorhilker. 09:30.619 --> 09:38.716 She realized that, as a civil servant, her employer was preventing her from combating financial crime. 09:38.716 --> 09:44.951 The then-head of the Cologne Public Prosecutor's Office and Minister of Justice Limbach apparently 09:44.951 --> 09:51.377 planned to split up the department headed by Brorhilker and thereby strip it of its power. 09:51.377 --> 09:58.123 Furthermore, according to the chief prosecutor, it “often happens” that defendants with substantial financial 09:58.123 --> 10:02.314 resources can “simply buy their way out of the proceedings.” 10:02.314 --> 10:07.257 Let the big ones go free; hang the little ones. 10:07.257 --> 10:13.853 Brorhilker also brought the Hamburg "Cum-Ex" scandal involving the private bank MM Warburg to court, a case in 10:13.853 --> 10:18.548 which Olaf Scholz, then mayor of Hamburg, was also implicated. 10:18.548 --> 10:25.757 Warburg, a private bank based in Hamburg, maintained close ties with City Hall and was apparently able to retain millions 10:25.757 --> 10:31.000 in Cum-Ex funds at first thanks to its lobbying connections. 10:31.000 --> 10:38.904 In 2024, Brorhilker resigned from her job as a prosecutor because of all the negative experiences she had. 10:38.904 --> 10:45.590 Dear viewers, as you can see, upon closer examination, there are clear reasons why the gap between 10:45.590 --> 10:50.307 the rich and the poor is widening more and more. 10:50.307 --> 10:56.329 However, we must not cast a blanket suspicion on every “super-rich” person, because there are many among them who 10:56.329 --> 11:03.201 have earned their money through honest means and who, in ever-increasing numbers, are even advocating for tax justice. 11:03.201 --> 11:09.749 In early 2024, for example, 250 ultra-wealthy individuals called for higher taxes on the super-rich in an open 11:09.749 --> 11:14.824 letter to heads of state and government from around the world. 11:14.824 --> 11:26.299 In 2025, a similar appeal was signed by 370 millionaires and billionaires, and in 2026, by nearly 400. 11:26.299 --> 11:31.475 From their perspective, extreme wealth poses a major threat to democracy. 11:31.475 --> 11:38.805 The signatories therefore called on governments to take immediate action to create a more equitable tax 11:38.805 --> 11:43.277 system that places a greater burden on the wealthy. 11:43.277 --> 11:49.158 They issued a stark warning that, otherwise, society risked becoming further polarized, which could 11:49.158 --> 11:53.820 jeopardize the stability of democracies in the long term. 11:53.820 --> 11:59.739 But have policymakers responded to this important demand? No! 11:59.739 --> 12:03.851 This makes it clear that the problem is not really the rich. 12:03.851 --> 12:10.921 Programs such as “This Conspiracy Is Destroying Germany—What Lies Behind Merz, Scholz & Co.?” have shown in detail 12:10.921 --> 12:18.200 that Germany’s political leadership is firmly in the grip of the high-ranking Masonic financial mafia. 12:18.200 --> 12:27.167 As a result, their policies not only serve the interests of this sect entirely, but are even directed against their own people. 12:27.167 --> 12:37.677 Thus—in line with the Great Reset agenda—the German economy has been systematically weakened and destroyed since 2016. 12:37.677 --> 12:43.384 A primary goal of this is, above all, to deliberately impoverish and destroy small and medium-sized businesses. 12:43.384 --> 12:50.355 In other words, the growing gap between the rich and the poor is no accident—it's intentional! 12:50.355 --> 12:56.789 Therefore, as long as the dominant influence of high-ranking Freemasons on all areas of our society remains 12:56.789 --> 13:04.149 unchecked, the population will continue to be financially bled dry—no matter how much tax revenue is collected. 13:04.149 --> 13:10.831 No matter how much additional revenue there is, it won't make any difference if it is then pointlessly squandered on this 13:10.831 --> 13:14.902 cult's projects, such as the war in Ukraine and rearmament. 13:14.902 --> 13:20.883 Likewise, the polarization and division of society will continue to be fueled, since—in keeping with the motto “divide and 13:20.883 --> 13:26.694 conquer”—this is part of the agenda of these enemies of humanity. 13:26.694 --> 13:33.993 It is therefore by no means acceptable that figures in high-level Masonic high finance are entangled with top politicians and 13:33.993 --> 13:41.411 decision-makers in the public sector and exert massive influence on our politics and, consequently, our legislation. 13:41.411 --> 13:46.556 The organization LobbyControl is therefore right to call for comprehensive transparency and 13:46.556 --> 13:49.996 mandatory rules for lobbyists and politicians. 13:49.996 --> 13:57.955 While lobbying is part of a democracy, this is not the case when influence is exerted behind closed doors, when politicians 13:57.955 --> 14:06.280 are compromised by conflicts of interest, or when one-sided influence from special interests harms the public good. 14:06.280 --> 14:11.739 That is why it is important to continue exposing the unjust collusion behind it all and, in doing 14:11.739 --> 14:15.082 so, to resolutely oppose any divisive attitudes. 14:15.082 --> 14:36.470 Be part of this effort to expose the truth until the entire population is aware of this 14:36.470 --> 14:50.000 injustice, and share this program with those around you.