Germany's Ministry of Finance has announced that the Federal Cabinet has approved the draft law for a phased reduction of the solidarity surcharge. Under the draft law, the surcharge exemption limit is increased for individuals so that approximately 90% of current surcharge payers will be exempt from 2021. Further, for taxpayers with income exceeding the exemption limit, the solidarity surcharge will not immediately be charged in full (i.e., 5.5%), which will result in a reduction of the sur…