by Maurer says it is in Switzerland’s own interest to implement the global tax reform for large multinationals. © Keystone/Anthony Anex The Swiss government has pledged to implement from 2024 the minimum tax rate for large multinational companies under a global tax deal. Under a timetable presented by Finance Minister Ueli Maurer on Thursday, a temporary regulation will ensure the minimum rate of 15% for companies with a turnover of more than €750 million (CHF786 million) comes into force following a vote on a constitutional amendment in June 2023. Subsequent legal reforms, affecting an estimated 2,000 Swiss subsidiaries of foreign companies and about 200 Swiss firms, would be decided by parliament at a later stage. Maurer said the proposed procedure allowed
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 Swiss parliament rejects adding dental care to basic insurance
Vibhu Vikramaditya writes Navigating the Slippery Slope: How Hoover’s Interventions Paved the Way for the Great Depression
Ryan McMaken writes Frédéric Bastiat Was a Radical Opponent of War and Militarism
Douglas French writes Millennials: In Costco We Trust
Maurer says it is in Switzerland’s own interest to implement the global tax reform for large multinationals. © Keystone/Anthony Anex
The Swiss government has pledged to implement from 2024 the minimum tax rate for large multinational companies under a global tax deal.
Under a timetable presented by Finance Minister Ueli Maurer on Thursday, a temporary regulation will ensure the minimum rate of 15% for companies with a turnover of more than €750 million (CHF786 million) comes into force following a vote on a constitutional amendment in June 2023.
Subsequent legal reforms, affecting an estimated 2,000 Swiss subsidiaries of foreign companies and about 200 Swiss firms, would be decided by parliament at a later stage.
Maurer said the proposed procedure allowed Switzerland to keep up with other countries trying to attract multinationals. It also provided the necessary legal certainty for the business community.
“If 15% is going to be levied, we want to levy that in Switzerland,” he told a news conference. “It will ensure that Switzerland remains competitive as an international business hub.”
Maurer said the procedure was agreed with the 26 cantons and the municipalities, which have wide-ranging financial autonomy, as well as the business community.
Revenue
He added that it was too early to estimate how much more tax revenue the cantons would collect, or what kind of benefits may be on offer for companies.
Details of the Swiss regulation were still being worked out with the Organisation for Economic Co-operation and Development (OECD)External link, which had agreed the global tax with the world’s top 20 economies last year.
The deal is meant to make it harder for big companies to avoid taxation and put Switzerland under renewed pressure over its traditionally low corporate tax policy.
Some companies will have to pay higher taxes, but the proposed legal procedure gave Switzerland “fiscal policy leeway to counteract a possible loss of attractivity as a business location”, according to finance minstryExternal link.
You Might Also Like
Omicron forces WEF to postpone flagship event again
2021-12-22
The Covid-19 pandemic has severely disrupted plans to hold the World Economic Forum’s (WEF) main annual meeting in Davos for a second year in a row.
Pension reform passes in parliament but set to be challenged to vote
2021-12-18
Parliament has approved a major reform of the Swiss pension system, including a controversial rise in the retirement age for women. The overhaul also foresees financial compensation – staggered over nine years for women directly affected by the change – as well as an increase in value-added tax.
Expo 2020 Dubai: Swiss pavilion focuses on sustainability and innovation
2021-12-16
The Swiss pavilion at the ongoing Universal Exposition in Dubai leads the visitor through Alpine landscapes in a show of light and shadows to showcase Swiss sustainability, urbanisation and innovation. It is a concept that seems to appeal to the public, despite the pandemic and the many contradictions that characterise the Gulf region.
The highs and lows of living and working in Switzerland
2021-12-05
Last year foreign workers in Switzerland loved the quality of life but moaned about how hard it is to settle in. Have they since cracked how to befriend the allegedly surly Swiss? The Expat City Ranking 2021 lists both praise and peeves of newcomers.
Omicron exposes our pandemic failures
2021-12-02
They say a week is a long time in politics – last week we discovered it’s a long time in a pandemic as well. We started the week anxiously watching the rising Covid cases in Europe, and wondering what new restrictions might be heading our way for Christmas.
Swiss government moots international monetary assistance
2021-11-19
The government seeks to renew its policy to support assistance measures by the International Monetary Fund (IMF). It asked parliament to approve plans to continue international monetary cooperation to the tune of CHF10 billion ($10.8 billion) by 2028.The existing legal basis expires in April 2023, according to officials.
Solidarity vital to overcome crises, Swiss president tells UN
2021-09-24
Guy Parmelin, who holds the rotating Swiss presidency this year, has called for solidarity to tackle global environmental and trade issues.
Swiss won’t vote on arms export ban proposal
2021-09-17
Campaigners seeking a ban on Swiss arms exports have withdrawn their initiative that aimed to stop weapons exports to countries in conflict.
Tags: Featured,newsletter,Politics