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Merkel’s FDP Ally May Give Up Income Tax Cut Goal, Bild Says

Germany’s Free Democratic Party, Chancellor Angela Merkel’s coalition ally, may give up its goal to cut income tax by 6 billion euros ($8 billion) from 2013, Bild Zeitung reported, citing FDP party leaders it didn’t identify.

Should the opposition Social Democrats and Greens block the government’s planned tax cut bill in the upper house of parliament, the FDP will seek to use the revenue to achieve a balanced federal budget in 2014, Bild said.

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