By Maurus Winzap, Robert Desax

On 12 September 2018, the Swiss National Council (Lower House– Nationalrat – Conseil national) approved the revised version for a corporate tax reform (“Tax Proposal 17”). It is based on the Government’s proposal issued in March 2017 and on the version negotiated in the Upper House (Ständerat – Conseil des États) in June 2018. The purpose of this new proposal is to set the basis for new rules on Swiss corporate taxation (the last proposal having been rejected in a nationwide referendum in February 2017) and to secure and enhance Switzerland’s overall attractiveness as a business location.

The current version includes a notional interest deduction (“NID”) for high-tax cantons (which is especially going to apply to the canton of Zurich) as well as substantial non-tax (revenue-raising) measures. The parliamentary debates bill will be formally completed by the end of September. If no referendum is requested, the first measures will enter into force in 2020.