Swiss Voters Reject Inheritance tax
June 15, 2015 Taxation in Switzerland
BERN – Swiss voters have overwhelmingly rejected a new tax proposal which is believed to pose a significant risk to small businesses.
In a vote held on June 14th taxpayers rejected a proposal to implement a new comprehensive inheritance tax in the country.
Currently the regulations regarding the taxation of inheritance vary in each canton, and under present regulations, only four cantons have rules to impose a taxes on wealth received as inheritance from a parent.
Had the proposal been passed, an inheritance tax of 20 percent would have been imposed on the transfer of wealth of more than CHF 2 million.
The proposal was rejected with 71 percent of voters voting against it.
The proposal was rejected by any taxpayers as it is believed that it would prove to be a significant financial burden to individual who receive inheritance from their parents, forcing individuals to take on debt just to cover their obligations.
It is also believed that the tax could lead to the sale of many small-sized and family businesses, which are estimated to employ as much as 80 percent of the country’s workers.
Photo By: Marcel Grieder