by The proposed 15% minimum corporate tax rate is an opportunity for Switzerland to unite its tax code for the better, says an organization representing Swiss cities. Cities like Zurich rely on company tax revenues to provide services and infrastructure. © Keystone / Gaetan Bally City finance directors have criticized cantons for trying to plug expected tax gaps unilaterally, rather than find a common approach nationwide. The United States is currently leading efforts by the G7 top industrialized countries to change the way that multinationals are taxed globally. One of the proposals is to impose a minimum rate of corporate tax – mooted at 15%. Opponents say this would disadvantage smaller countries, like Switzerland, which set lower taxes to attract multinational
Topics:
Swissinfo considers the following as important: 3) Swiss Markets and News, 3.) Swissinfo Business and Economy, Featured, newsletter, Politics
This could be interesting, too:
Investec writes Federal parliament approves abolition of imputed rent
Nachrichten Ticker - www.finanzen.ch writes Krypto-Ausblick 2025: Stehen Bitcoin, Ethereum & Co. vor einem Boom oder Einbruch?
Connor O'Keeffe writes The Establishment’s “Principles” Are Fake
Per Bylund writes Bitcoiners’ Guide to Austrian Economics
The proposed 15% minimum corporate tax rate is an opportunity for Switzerland to unite its tax code for the better, says an organization representing Swiss cities.
Cities like Zurich rely on company tax revenues to provide services and infrastructure. © Keystone / Gaetan Bally
City finance directors have criticized cantons for trying to plug expected tax gaps unilaterally, rather than find a common approach nationwide.
The United States is currently leading efforts by the G7 top industrialized countries to change the way that multinationals are taxed globally.
One of the proposals is to impose a minimum rate of corporate tax – mooted at 15%. Opponents say this would disadvantage smaller countries, like Switzerland, which set lower taxes to attract multinational regional HQs.
But the Swiss Conference of City Finance Directors told Swiss public broadcaster SRF on MondayExternal link that it welcomes the proposed tax reform.
“The cities have always spoken out in favor of appropriate taxation for large corporations and companies,” said vice-president Daniel Leupi. “They should contribute appropriately to participate in services and the infrastructure that cities offer.”
Leupi added that the tax reform writing has been on the wall since Switzerland was forced by the European Union to end anti-competitive tax practices in 2019.
Should the minimum corporate tax rate become a reality, Luepi warns against an opaque and piecemeal response, such as research tax credits in some cantons and different measures in others.
The Association of Swiss Cities has already made this appeal, arguing in a position paper on June 9External link that “new reforms harbor the risk of creating new inter-cantonal inequalities”.
Swiss cities want to replace cantonal tax competition with a nationwide harmonization of the tax code.
“It is particularly important to highlight the real strengths of our country, such as security, a well-qualified workforce, top infrastructures and political stability,” they state.
You Might Also Like
Weekly SNB Sight Deposits and Speculative Positions: Inflation is there, CHF must Rise
2021-06-21
Update June 21 2021: SNB intervening. Sight Deposits have risen by +1.1 bn CHF, this means that the SNB is intervening and buying Euros and Dollars.
Swiss prepare for EU chill after quitting market access talks
2021-05-29
In Brussels there was shock and anger. In Switzerland, quiet celebration and relief — but, for some, doubts about what exactly comes next. On Wednesday, Bern announced it was formally withdrawing from negotiations to codify future relations with the EU into a single overarching “framework agreement” — a back-and-forth exchange that has dominated an increasingly fraught relationship with Brussels since 2014.
Switzerland fears impact of minimum corporate tax rate
2021-04-27
Switzerland may have to find alternative ways to welcome foreign companies to Switzerland. Keystone / Peter Klaunzer
This content was published on April 27, 2021 – 09:00
April 27, 2021 – 09:00
Matthew Allen
When not covering fintech, cryptocurrencies, blockchain, banks and trade, swissinfo.ch’s business correspondent can be found playing cricket on various grounds in Switzerland – including the frozen lake of St Moritz.
More about the author
| English Department
swissinfo.ch
The looming shadow of a global minimum corporate tax rate could threaten Switzerland’s status as a hub for multinational company headquarters.The United States says that no country should tax companies less than 21%, a proposal that has added momentum to talks over a worldwide minimum corporate tax
Former Swiss central banker throws in towel to lead OECD
2021-02-27
Former Swiss National Bank (SNB) chairman, Philipp Hildebrand, has pulled out of the race to become the next secretary-general of the Organisation for Economic Co-operation and Development (OECD).
The United Nations in Geneva – before and during the pandemic
2021-02-18
With the exception of a few organisations and institutions that continue to operate in person, such as the UN Human Rights Council, which is currently conducting its Universal Periodic Review process, the Office of the UN High Commissioner for Human Rights, the WHO and some permanent missions to the United Nations, most day-to-day business and multilateral activities are conducted online.
‘Looking after citizens’ ID data is a sovereign task’
2021-02-10
Lawyer and parliamentarian Sibel Arslan explains why she is against the proposed new law on digital identity (eID) and why rejecting it would be an opportunity for digitisation.
Indonesia’s palm oil angers Swiss anti-globalisation activists
2021-01-31
A free trade agreement between Switzerland and Indonesia has been challenged to a nationwide vote. The controversy focuses on the production and imports of palm oil.
Deal or no Deal: How five non-member states handle EU relations
2021-01-30
With Brexit done, Switzerland is hoping it can restart negotiations on its framework agreement with the European Union. The experience of other non-member states offers some valuable lessons on how it can engage with Brussels, though no blueprint exists. SWI swissinfo.ch looks at how five other non-member states have negotiated with the EU.
Tags: Featured,newsletter,Politics
There has been a critical error on your website.