5 ms·

That's not true. In some cantons, the very rich get extra deals, called Lump-sum tax, independently of their revenues. E.g. the Ikea founder only paid around 16

by bluelu 6y ago

That's not true. In some cantons, the very rich get extra deals, called Lump-sum tax, independently of their revenues. E.g. the Ikea founder only paid around 165000$ in total taxes in 2014 on a fortune of 46.5 billion US $ and all his revenues which he had. Source: https://www.20min.ch/story/so-wenig-steuern-zahlte-der-ikea-gruender-884803687052 https://www.20min.ch/story/so-wenig-steuern-zahlte-der-ikea-...)

Schweigi 6y ago
The lump sum tax is only possible for non-citizens, who do not have direct W2 income from Switzerland. Local governments (if the state allows it) can use it as a shortcut to estimate the tax amount. Nevertheless wealthy Swiss citizen don’t leave Switzerland either. Probably also because there is no capital gains tax which offsets the wealth tax easily.
- kgwgk 6y ago
  > there is no capital gains tax As long as capital gains are less than half of your income.
  - config_yml 6y ago
    That's not accurate. Only if you qualify as a professional investor, you'll have to pay capital gains tax.
    - kgwgk 6y ago
      And that’s one of the conditions that you have to fulfill to be sure the tax administration won’t classify you as professional investor. https://www.taxadvisors.ch/media/6666/TaxBulletin_02_12_english_.pdf https://www.taxadvisors.ch/media/6666/TaxBulletin_02_12_engl...
Retric 6y ago
That’s often reported but factually incorrect he did not own 100% of Ikea. https://en.wikipedia.org/wiki/Stichting_INGKA_Foundation https://en.wikipedia.org/wiki/Stichting_INGKA_Foundation. That charity was valued at 36 Billion in 2006 and controls most IKEA stores and assets. The family owned https://en.wikipedia.org/wiki/Interogo_Foundation https://en.wikipedia.org/wiki/Interogo_Foundation which was valued at 15B in 2011 which controls IP and collects 3% of revenue from each store.
- gadders 6y ago
  We all know that's a tax dodge though, right? https://www.economist.com/business/2006/05/11/flat-pack-accounting https://www.economist.com/business/2006/05/11/flat-pack-acco...

by bluelu 6y ago

Schweigi 6y ago

The lump sum tax is only possible for non-citizens, who do not have direct W2 income from Switzerland. Local governments (if the state allows it) can use it as a shortcut to estimate the tax amount. Nevertheless wealthy Swiss citizen don’t leave Switzerland either. Probably also because there is no capital gains tax which offsets the wealth tax easily.

kgwgk 6y ago
> there is no capital gains tax As long as capital gains are less than half of your income.
- config_yml 6y ago
  That's not accurate. Only if you qualify as a professional investor, you'll have to pay capital gains tax.
  - kgwgk 6y ago
    And that’s one of the conditions that you have to fulfill to be sure the tax administration won’t classify you as professional investor. https://www.taxadvisors.ch/media/6666/TaxBulletin_02_12_english_.pdf https://www.taxadvisors.ch/media/6666/TaxBulletin_02_12_engl...

Retric 6y ago

That’s often reported but factually incorrect he did not own 100% of Ikea. https://en.wikipedia.org/wiki/Stichting_INGKA_Foundation https://en.wikipedia.org/wiki/Stichting_INGKA_Foundation. That charity was valued at 36 Billion in 2006 and controls most IKEA stores and assets. The family owned https://en.wikipedia.org/wiki/Interogo_Foundation https://en.wikipedia.org/wiki/Interogo_Foundation which was valued at 15B in 2011 which controls IP and collects 3% of revenue from each store.

gadders 6y ago
We all know that's a tax dodge though, right? https://www.economist.com/business/2006/05/11/flat-pack-accounting https://www.economist.com/business/2006/05/11/flat-pack-acco...