Switzerland rejects 50% inheritance tax proposal

By Ilayda Cakirtekin

ISTANBUL (AA) – Swiss voters on Sunday overwhelmingly rejected a proposal to impose a 50% tax on inheritances and gifts from individuals with assets above 50 million Swiss francs ($62 million), according to public broadcaster SRF.

Around 78% of voters opposed the initiative, brought forward by the Young Socialists (JUSO), which sought to address widening wealth disparities and draw attention to the climate impact attributed to the ultra-rich.

Under the proposal, two-thirds of the revenue would have gone to the federal government and one-third to the cantons, with the funds reserved exclusively for climate-protection measures.

The Socialist Party and the Greens supported the initiative, while most other political parties, the Federal Council, Parliament and major business groups opposed it. Critics argued that such a tax would encourage wealthy individuals and entrepreneurs to leave Switzerland, discourage new arrivals and ultimately reduce overall tax income.

In a separate vote, 84.1% of Swiss voters rejected a proposal to introduce a mandatory civic duty system for all citizens, Swissinfo reported. The “For a committed Switzerland” initiative aimed to expand compulsory service, currently required only of men, to include women and offer a wider range of social and community-based roles.