Swiss Tax update
The Swiss parliament has approved a package of corporate tax reforms designed to keep it off the European Union's blacklist, which will list jurisdictions that offer preferential rates to foreign companies as well as jurisdictions that practice tax secrecy. 'Tax Proposal 17' will abolish the special tax status granted to 24,000 foreign companies that pay low cantonal corporation tax rates, and cantonal governments will lower the tax rates charged to Swiss-resident companies. However, the proposal may yet be defeated by referendum.