ZURICH: A steering body charged with drawing up a new package of Swiss corporate tax reforms has completed a first round of hearings on the proposals.
The steering body is comprised of members from the Confederation and the cantons. It was set up following the Government’s defeat in February’s referendum on the third series of corporate tax reforms (CTRIII).
According to the Federal Council, the objectives of tax proposal 17 (TP17) are to restore international acceptance of Switzerland’s tax regime, maintain its appeal as an investment location, and safeguard the tax receipts of the Confederation, cantons, and communes.
The Council said those who participated in the consultations recognized the need for corporate tax reform, and that there was a broad consensus on the need for this project and on its objectives. It added that the hearings confirmed the high expectations placed on TP17.
The Federal Council said it is now evaluating the suggestions put forward during the hearings and will consult with the cities and communes again at the start of May. It will determine the “cornerstones” of the proposal in June.
Had it been approved in the referendum, CTRIII would have abolished a range of tax arrangements for status companies and given cantons the option of introducing a special patent box regime for intellectual property income.
