German finance minister urged new EU member states to raise taxes

German finance minister Peer Steinbruck has urged new EU member states to raise their taxes and ensure "fair tax competition" among the 25 members of the bloc.

...The combined corporate tax rate in Germany is almost 40 percent...Slovakia has imposed a 19 percent flat tax in order to attract business and create more jobs.

... EU member states competing on lower taxes should have their funds from EU regional funds cut.