Swiss Voters Overwhelmingly Reject Inheritance Tax

Photo: Swissinfo

Swiss voters have decisively rejected two nationwide initiatives in a referendum held on 30 November 2025: the introduction of a federal inheritance tax on large estates and the creation of mandatory civic duty for all citizens. Final results show that 78.3% voted against the inheritance tax proposal, while 84.1% opposed the civic duty initiative. Voter turnout reached 43%, and not a single canton approved either proposal.

Mandatory civic duty proposal collapses

The initiative calling for compulsory civic service for all citizens suffered a particularly heavy defeat. The proposal sought to reform Switzerland’s existing system of compulsory service, which currently applies mainly to men through military, civil defence or civilian service. It aimed to include women and broaden the range of activities to social, environmental and community-based tasks.

Although early opinion polls suggested moderate support, backing eroded rapidly during the campaign. Concerns over administrative costs, efficiency and unclear benefits ultimately undermined the proposal.

Inheritance tax initiative rejected nationwide

The proposal to introduce a federal inheritance tax of 50% on bequests exceeding CHF 50 million was launched by the Young Socialists (JUSO) and framed as a tool to address wealth inequality and finance climate action. The initiative was firmly opposed by the federal government, most political parties and business organisations.

Opponents warned that the tax would drive wealthy individuals abroad, weaken family-owned businesses and threaten jobs. The final rejection was even stronger than predicted and exceeded the level of opposition seen in a similar 2015 vote.

Economic stability trumps redistribution

Business leaders and centrist politicians said the vote sent a clear message in favour of Switzerland’s existing tax model, under which inheritance taxes are set at cantonal and municipal levels rather than federally. While wealth inequality has increased, they argued that overall prosperity continues to rise and that radical fiscal measures pose significant economic risks.

According to International Investment experts, the referendum outcome reinforces Switzerland’s long-standing reputation for fiscal predictability and investor-friendly policies. The decisive rejection of a federal inheritance tax signals continued commitment to capital retention, legal certainty and a stable environment for family businesses and private wealth.