Post-COVID, remote working should to be taxed: Deutsche Bank

The German bank proposes a tax deduction for remote workers; calls it a privilege they ought to pay for

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Strategists and Deutsche Bank have proposed a five per cent tax for those who permanently work from home, because of company policy and not government lockdown.

The remote-working mode was introduced in an attempt to cope with the losses induced by the pandemic. This gave birth to flexible work options for many corporate sectors around the globe. If passed, this five per cent levy will raise at least $ 48 billion annually in the US and about $ 18.8 billion for Germany!

Remote working is set to be the ‘new normal’ once the pandemic is curbed. With the commuting and working in an office expenses slashed, it is undeniably a privilege that Deutsche Bank wants to tax. It will free up more money for subsidies for those who cannot work remotely.

In terms of economic infrastructure, remote employees do not contribute much, as compared to the non-remote workers who attend office. This is a potential stunting of national growth, which keeps extending as the employees gorge on the subsidies meant for non-remote workers, which they are not using in the first place.

Just for the US alone, this tax amounts to $ 1,500 and will benefit employees who earn below $ 30,000 annually and cannot opt for remote work. The logic is that the ones fortunate enough to disengage from being physically present in office, owe it to the non-remote workers who need to bear the expenses of making it to the workplace.