Editing Equalization payments (section)

==Germany==
{{Further|Equalization payments in Germany}}
According to Section 8 of the [[Weimar Constitution]], taxation became a matter of the federal government in 1919 and the states lost their ability to generate income. Thus, the state tax law of 1920 supplied for equalization payments among the states which ensured that no state would have less than 80% of the average state tax revenue.
Sections 106 and 107 of the Constitution of the Federal Republic of Germany supply for the distribution of tax revenues (horizontal and vertical equalization). This includes reducing the revenues of richer states in favour of the poorer ones. In 2015 this amounted to the re-distribution of 9.594 billion Euros from the states of Bavaria, Baden-Württemberg, Hesse and Hamburg to all the other states.