The latest round of Swiss voting has taken place today (Sunday) and the three national initiatives on the table have met with a resounding “no” from the electorate. The vote most likely to have affected our listeners, “End Fiscal Privileges for Multi-millionaires”, has been defeated by around 60% of voters. This is good news for Bagnes municipality – which includes Verbier – as foreigners benefiting from lump-sum tax agreements represent approximately 8 million francs of tax revenue per year.

But this isn’t the last time we’ll see initiatives with the potential to damage the local economy. Prepare yourselves for the debate around the Law on Inheritance Tax. There is currently no federal inheritance tax, although cantons levy one at the local level. The initiative in the pipeline is proposing a federal inheritance and gift tax of 20% (With some exceptions). Some business owners in Verbier are already getting worried about an exodus of wealthy residents should the initiative become law…