After goodbye to bank secrecy, Switzerland also cancels the preferential tax regime for foreign companies. This is foreseen in the "fiscal project 17" approved on 12 September by the Lower House of the Swiss Parliament. For the definitive green light it is necessary to wait for the outcome of a possible referendum, which could be called if at least 50 signatures are collected.
The reform abolishes the tax status enjoyed by approx 24 thousand foreign companies, subject to rates between 7,8 and 12%, much lower than those envisaged for Swiss companies (12-24%).
The goal is to avert the risk of ending up on the EU blacklist of countries with fiscal rules that do not comply with international standards, a mark that would damage economic relations between the cantons and the 27 countries of the Union.
The Swiss government had already proposed a reform of the tax system in 2017, but the text was rejected by citizens via referendum for fear that the loss of revenue would lead to an increase in taxes on labor or a cut in public services.
The old version of the reform envisaged a general reduction in corporate tax rates in order to keep the tax system as a whole competitive.
This general approach has remained, but to overcome the concerns expressed in last year's referendum, the new draft also contains an increase in company contributions to the social security system, an increase in taxation on dividends and a reform of family allowances.
