Riposte to customs duties
39% surcharge could torpedo the minimal OECD tax
All the bourgeois parties are demanding its suspension to strengthen the attractiveness of the economic place, sounded by Trump’s trade policy.
Karin Keller-Sutter and Guy Parmelin are the two members of the Federal Council on the front in the American customs tax file.
Peter Schneider/Keystone
- OECD minimal tax could be the first victim of American customs taxes.
- Switzerland adopted this tax in 2023 with 80% popular approval.
- The right -wing parliamentarians ask for the suspension to lighten the Swiss economy.
- The Federal Finance Department does not plan to withdraw it for the moment.
Since Donald Trump decided to punish Switzerland with 39% customs dutiesTHE ideas abound To allow the economy – in particular the export industry – to go through this crisis. Among the tracks mentioned to strengthen the attractiveness of Switzerland, there is one that returns with insistence: suspend the minimal OECD tax.
Will he be the first victim of American surcharge? In any case, it exists – on paper – a political majority to achieve this. This claim is indeed black on white among the requirements of the UDCyou plr a you Centrepublished in the wake of President Trump’s announcements.
“Switzerland introduced this tax a year ago, in the hope that many other countries would follow suit, Write the PLR. This was not confirmed. Given the fact that the current US government is proving international agreements, it should not be expected that other states introduce this tax. In order to protect our businesses, Switzerland must suspend the minimum OECD tax until further notice. ”
A tax acclaimed in 2023 by the Swiss
OECD minimum taxation? This is a principle on which 140 countries have agreed and which aims to tax the benefit Large companies (those that generate turnover of more than 750 million) up to 15%, wherever they operate in the world. The goal is to fight tax evasion and aggressive tax competition between countries.
On June 18, 2023, the Swiss acclaimed the implementation of this principle: all the cantons have accepted it, as well as 80% of voters. The Federal Council then introduced it to 1is January 2024. But since then, the beautiful story has turned into sausage water. In addition to the decision of the United States to turn their backs on the OECD to develop their own minimum taxation, countries like China and India no longer seem in a hurry to apply what was then consensus. And even within the EU, some states demand long transitional deadlines.
Charles Juillard (Center/Ju).
Parliament services
With his 39%, Donald Trump gave grace to this tax? “It is the future that will say it,” reacts Senator Charles Juillard (the Center/Ju), which recalls that the important tax revenues at stake could cool some.
He himself is convinced, and he did not wait for American punitive taxes to lead the fight on this file. “Switzerland has implemented this tax under pressure from the Biden administration. And since she did it, the US have withdrawn from the agreement. I do not see why we should voluntarily penalize our economic place. Suspending this agreement is all the more important to show Trump since we are ready to defend ourselves. ”
An opinion shared by Michael Buffat (UDC/VD). “Today, the objective is to lighten the burden of our companies as much as possible which face this increase in customs duties. Switzerland must stop wanting to play good students. This OECD taxation was no longer justified as long as the compromise had shattered. Wanting to keep it while the economy will suffer from American surcharge is to worsen the situation. ”
And the legal security of companies?
Proof that the discontent rises to Bern, the subject will be discussed during the National Economy Commission and royalties which meet this Monday, August 18. On the side of the Council of States, a postulate of the Foreign Policy Commission (CPE) was filed last Tuesday.
The latter wants to know how the Federal Council plans to “resume international regulations, faced with the disruptive external economic policy of important business partners”. She is particularly interested in the implementation of the OECD tax. “The essential conditions on which the Federal Council was based during the popular vote are no longer fulfilled,” writes the CPE.
Sophie Michaud Gigon (the Greens/VD).
Parliament services
Are carrots cooked for this tax compromise? Sophie Michaud Gigon (the Greens/VD), president of the parliamentary delegation to the OECD, is prudent: “This is not the first time that there are attacks against this minimum imposition,” she reacts. The weakening of multilateralism that we are witnessing does not help to have a serene debate on the issue. The situation is therefore not easy for Switzerland. It is taken in vice with, on the one hand, the EU which pushes for this minimum imposition, and on the other, certain large countries like the USA which advance with their own regulation. ”
For her, however, it would be difficult for Switzerland to go back or suspend this application. “The people confirmed this decision by a popular vote in 2023. Maintaining this minimum taxation is also important for companies that need to have legal security to plan their development.” And to recall that Switzerland does not go to a rider alone: “Sixty OECD member countries already apply this regulation or are about to do so.”
Karin Keller-Sutter alert on the consequences
Contacted, the Federal Finance Department (DFF) specifies that Switzerland does not plan to suspend the minimum OECD taxation. Such a decision would allow countries that apply it to tax Swiss companies that have activities there, he underlines. “This would mean that taxes would still be paid by companies, but that they would be transferred abroad,” said Karin Keller-Sutter last Monday, DFF head, on Telezüri. However, the introduction of minimum taxation in Switzerland aimed in particular to avoid this scenario.
According to the Saint-Gallen, “the question of whether the tax system for the minimum taxation of the United States must be equivalent to that of the OECD is currently the subject of discussions. But we are not there yet. ”
Switzerland follows the developments of the file and will adapt to possible changes, indicates the DFF, which concludes that “the aim remains to protect the Swiss tax substrate and legal certainty for businesses, while taking into account the attractiveness of the Swiss economic place”.
“Latest news”
Do you want to stay at the top of the info? “24 hours” offers you two meetings a day, not to miss anything of what is happening in your canton, in Switzerland or in the world.
Other newsletters
Did you find an error? Please report it to us.
