The Swiss have overwhelmingly rejected the introduction of an inheritance tax for the super-rich. The initiative of the socialist youth organization Juso "For a social climate policy financed through taxes", which aimed to impose a 50 percent tax on inheritances exceeding 50 million Swiss francs, failed in a referendum. According to Juso, the money from these taxes should be used for climate protection.
The authorities announced even before all the votes had been counted that the proposals had failed because a majority of the cantons had voted against them. Such requests require both a majority of the general vote and a majority of the votes in the cantons.
Parties and business associations against inheritance tax
According to the Swiss tax authorities, there are around 2,500 taxpayers in Switzerland with a fortune exceeding 50 million Swiss francs. Together, they own a fortune worth around 500 billion Swiss francs. If the initiative were to be approved, inheritance taxation could theoretically generate four billion Swiss francs in additional tax revenue. According to Juso's plans, the proceeds would be used to finance climate protection projects.
A broad coalition of political parties and business associations campaigned against the tax, warning that the additional burden could push wealthy individuals out of the country, reducing overall tax revenues.
In most Swiss cantons, spouses and direct descendants currently do not have to pay inheritance tax. For other heirs, different regulations apply, depending on the canton./DW/
