Switzerland Weighs Billionaire Tax to Help Fight Climate Crisis

Switzerland, known as a haven for the super-rich, will soon vote on whether to introduce a steep inheritance tax.

The chances of the initiative passing are slim to none. (Photo: Babson College)

Switzerland and high taxes are not natural bedfellows; the land of snow-capped peaks and cuckoo clocks is more commonly associated with wealth preservation than redistributive policies, Catherine Lafferty and Eleanor Butler reported for Euronews.

Nonetheless, a group of political activists from the youth wing of the Social Democratic Party, Jeunesse Socialiste, has launched a campaign for radical change, forcing the issue of inheritance tax onto a national ballot.

On Nov. 30, Swiss voters will decide whether to introduce a 50% inheritance tax on bequests and inheritances above 50 million CHF (€53.57 million).

The chances of the initiative passing are slim to none.

According to a recent Tamedia/20 Minuten poll, 75% of Swiss voters are expected to reject the proposal, up from 67% in October.

Although the measure is poised to fail, some fear that the upcoming referendum may harm Switzerland’s reputation as a tax haven.

The country’s wealth management industry is the largest and most competitive in the world, with international assets worth $2.2 trillion (€1.9 trillion), according to Deloitte.

But its dominance is being challenged by rivals such as Singapore and the UK.