{"id":207812,"date":"2025-06-23T13:59:16","date_gmt":"2025-06-23T13:59:16","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/207812\/"},"modified":"2025-06-23T13:59:16","modified_gmt":"2025-06-23T13:59:16","slug":"inheritance-tax-referendum-spooks-swiss-super-rich-2","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/207812\/","title":{"rendered":"Inheritance tax referendum spooks Swiss super-rich"},"content":{"rendered":"<p>    <img fetchpriority=\"high\" src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/06\/419519153_highres.jpg\" width=\"1300\" height=\"867\" alt=\"mountains\" loading=\"eager\" decoding=\"auto\"\/><\/p>\n<p>            (KEYSTONE\/Anthony Anex)        <\/p>\n<p>            Listen to the article        <\/p>\n<p>            Listening the article        <\/p>\n<p>                Toggle language selector            <\/p>\n<ul class=\"read-aloud\/track-selector__options\">\n<li>\n<p>                            English (US)                        <\/p>\n<\/li>\n<li>\n<p>                            English (British)                        <\/p>\n<\/li>\n<\/ul>\n<p>            Generated with artificial intelligence.        <\/p>\n<p>        Lawyers and bankers in Switzerland are warning of a UK-style exodus of the wealthy ahead of a referendum on a 50% inheritance tax for the super-rich.\n<\/p>\n<p>        This content was published on    <\/p>\n<p>        June 23, 2025 &#8211; 10:50\n<\/p>\n<p>\n        Mercedes Ruehl, Financial Times    <\/p>\n<p>The Alpine nation is due to hold a popular vote in November on the introduction of a federal tax on inheritances and gifts worth more than CHF50 million ($61 million). Unlike existing cantonal duties that would still apply, the proposal does not include an exemption for spouses or direct descendants.<\/p>\n<p>The looming vote comes after the UK sparked a rush for the exit among wealthy foreigners by making the global assets of non-domiciled residents liable to inheritance tax \u2013 a move it is now considering reversing. Meanwhile, jurisdictions such as Dubai and Italy have stepped up efforts to lure the rich.<\/p>\n<p>        External Content    <\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/06\/FT-png-data.png\" alt=\"FT\" width=\"165\" height=\"80\"\/><\/p>\n<p>\u201cIn terms of the chance for Switzerland to attract people leaving the UK, the damage has been done. The timing was terrible,\u201d said Georgia Fotiou, a lawyer advising private clients at Staiger Law. \u201cIt hasn\u2019t stopped everyone from coming but more have chosen Italy, Greece, the United Arab Emirates and elsewhere instead.\u201d<\/p>\n<p>The new tax was proposed by the far-left Young Socialists party in 2022 as a way of raising money to tackle the climate crisis. Under Swiss law, such proposals go to a public vote if they are backed by 100,000 signatures.<\/p>\n<p>\u201cThe whole country has to vote on the proposal just as a sheer consequence of the proposal being made, which creates unnecessary uncertainty,\u201d said Fr\u00e9d\u00e9ric Rochat, managing partner of Geneva-based Lombard Odier. \u201cThe simple fact it exists is unhelpful.\u201d<\/p>\n<p>The proposed tax would also affect those running the thousands of small- and medium-sized businesses, as well as entrepreneurial families, spread across the country, many of whom have their money tied up in the business, Rochat added.<\/p>\n<p>\n    More<\/p>\n<p>    <img src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/06\/248485090_highres.jpg\" width=\"1300\" height=\"867\" alt=\"grave\" loading=\"lazy\" decoding=\"async\"\/><\/p>\n<p>        More    <\/p>\n<p>        Will a drastic hike in Swiss inheritance tax lead to an exodus of billionaires?\u00a0    <\/p>\n<p class=\"teaser-wide-card__excerpt\">\n<p>                        This content was published on                    <\/p>\n<p>                        Jul 23, 2024                    <\/p>\n<p>                A proposal to levy an inheritance tax of 50% on the super-rich has provoked emigration threats from wealthy Swiss residents.            <\/p>\n<p>    <a class=\"teaser-wide-card__link\" href=\"https:\/\/www.swissinfo.ch\/eng\/swiss-politics\/will-a-drastic-hike-in-swiss-inheritance-tax-lead-to-an-exodus-of-billionaires\/84741116\" target=\"_self\" rel=\"noopener\"><\/p>\n<p>            Read more: Will a drastic hike in Swiss inheritance tax lead to an exodus of billionaires?\u00a0<br \/>\n    <\/a><\/p>\n<p>\u2018Disaster for Switzerland\u2019<\/p>\n<p>Peter Spuhler, owner of rolling stock giant Stadler Rail and one of Switzerland\u2019s richest people, has publicly slammed the proposal as \u201ca disaster for Switzerland\u201d, saying his heirs could have to hand over as much as CHF2 billion.<\/p>\n<p>The prospect of the new tax risks further denting Switzerland\u2019s reputation for stability, which has taken several hits in recent years including through the demise of Credit Suisse and the introduction of new financial regulations.<\/p>\n<p>\u201cSwitzerland was always the country with an excellent environment when it comes to gift and inheritance tax. We have some bigger family companies we consult and they would have a big issue\u201d if the proposal passes, said Stefan Piller, head of tax and legal for BDO in Zurich.<\/p>\n<p>The new levy would place Switzerland above other jurisdictions such as Italy where inheritance taxes range between 4% and 8%, or Dubai and Hong Kong which have no inheritance or gift tax.<\/p>\n<p>Business lobby group Economiesuisse said this week that the initiative \u201cendangers Switzerland\u2019s position as a reliable and stable business location internationally\u201d.<\/p>\n<p>As the vote approaches, some people are already departing, while others are deciding against relocating to the country.<\/p>\n<p>Rochat said Lombard Odier had \u201cseen Swiss-based families that have decided not to take any risk and to relocate ahead of the vote taking place\u201d, while overseas clients had decided not to move to the country because the \u201cextremely damaging\u201d proposal had created uncertainty ahead of the vote.<\/p>\n<p>Another Zurich-based private banker said a top client had relocated to Liechtenstein ahead of the vote because, even if the proposal does not pass, \u201cthe uncertainty around whether there will be another one in a few years made them want to move\u201d.<\/p>\n<p>\u2018Pretty big inflows\u2019<\/p>\n<p>However, other banks said plenty of wealthy people were still shifting money to Switzerland, long a haven in uncertain periods.<\/p>\n<p>\u201cWe are seeing pretty big inflows from everywhere at the moment given global volatility,\u201d said a third executive at a private bank, adding that Americans in particular had stepped up efforts to move money to the country under the Trump administration.<\/p>\n<p>\n    More<\/p>\n<p>    <img src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/06\/649900774_highres.jpg\" width=\"1254\" height=\"836\" alt=\"Zurich\" loading=\"lazy\" decoding=\"async\"\/><\/p>\n<p>        More    <\/p>\n<p>        Wealthy Americans seek refuge from Donald Trump in Swiss banks    <\/p>\n<p class=\"teaser-wide-card__excerpt\">\n<p>                        This content was published on                    <\/p>\n<p>                        Mar 24, 2025                    <\/p>\n<p>                Private bankers and investment managers report a large increase in clients wanting to shift assets to Switzerland.            <\/p>\n<p>    <a class=\"teaser-wide-card__link\" href=\"https:\/\/www.swissinfo.ch\/eng\/banking-fintech\/wealthy-americans-seek-refuge-from-donald-trump-in-swiss-banks\/89057550\" target=\"_self\" rel=\"noopener\"><\/p>\n<p>            Read more: Wealthy Americans seek refuge from Donald Trump in Swiss banks<br \/>\n    <\/a><\/p>\n<p>Christian K\u00e4lin, chair of Henley &amp; Partners, a London-based consultancy that specialises in citizenship and residency through investment, said he did not \u201cshare the view that this has damaged Switzerland\u2019s appeal\u201d.<\/p>\n<p>\u201cWe have seen some people waiting to see about the possible introduction, yes,\u201d he said. \u201cBut frankly the people we deal with are intelligent and understand Switzerland will not introduce this easily.\u201d<\/p>\n<p>The federal council, the country\u2019s executive branch, has rejected the initiative, as have the two houses of parliament, and experts have given the tax low chances of success in the November 30 referendum given Swiss citizens\u2019 historic aversion to wealth taxes. To be passed, it requires majorities of both a majority of the population and a majority of the country\u2019s 26 cantons.<\/p>\n<p>However, Rochat said that if the proposal won or lost by a small margin the issue would probably be revisited in a few years, which would hurt Switzerland\u2019s predictability. \u201cIt needs to be voted down with such an overwhelming majority [that this possibility can] be put to bed for 20 years.\u201d<\/p>\n<p><strong>Copyright The Financial Times Limited 2025<\/strong><\/p>\n<p>        Articles in this story    <\/p>\n","protected":false},"excerpt":{"rendered":"(KEYSTONE\/Anthony Anex) Listen to the article Listening the article Toggle language selector English (US) English (British) Generated with&hellip;\n","protected":false},"author":2,"featured_media":207813,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3093],"tags":[3907,83370,51,474,2499,16,15],"class_list":{"0":"post-207812","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-article","9":"tag-beat-swiss-democracy","10":"tag-business","11":"tag-finance","12":"tag-personal-finance","13":"tag-uk","14":"tag-united-kingdom"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/114733040919678816","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/207812","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=207812"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/207812\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/207813"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=207812"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=207812"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=207812"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}