In the run-up to the tripartite meeting, the government is working behind the scenes to try to find a consensus. The aim is to avoid an inflationary shock in 2024, but also to respond to the cost of living problem households are facing. In this context, the coalition cannot avoid the tax issue--an issue that is all the more sensitive because the major tax reform--the flagship measure of the legislature--has not taken place and this issue seems to highlight irreconcilable ideological differences between the partners.

In this game, the LSAP seems determined to assert its themes and put pressure on its coalition partners, not hesitating to question the possibility of a renewal of a blue-green-red alliance in the event of the absence of a “common project” that would be defined initially by the decisions taken around the taxation issue.

“This discussion will be all the more important for the coalition as it will be able to demonstrate that it has plans for the future,” declared to Delano’s sister publication  on Tuesday 21 February. The co-chair of the LSAP, , reiterated the party’s position two days later on radio 100.7, stressing that without a compromise on the tax issue, “it would be very difficult to agree on a common project.”

A more compatible CSV

While déi Gréng seems to be more of a bridge-builder, saying it is “ready to discuss,” everything seems to be in opposition between DP and LSAP on the tax issue. Adaptation of the tax scale, wealth tax, inheritance tax, property tax or even a “covid tax” targeting companies that have benefited from the crisis: all these LSAP proposals are rejected out of hand by the DP.

The CSV seems to be more compatible with the LSAP in this respect. Even though it reiterated during the July tax debate that it rejected any wealth or inheritance tax outright, it has been in favour of adjusting the tax scale for months. This opens up post-election prospects.

This story was first published in French on . It has been translated and edited for Delano.