Swiss Individual Taxation: Implementation Not Until 2032

What the Swiss Individual Taxation and the new timeline means for those affected in the context of the pending political initiative and the abolition of the notional rental income tax.

Switzerland has adopted Individual Taxation, which, according to the Federal Council, is set to take effect on January 1, 2032. Under this system, each individual will be taxed as a separate taxpayer, regardless of marital status, which will require extensive changes at the federal, cantonal, and municipal tax levels. At the same time, there is uncertainty due to the upcoming vote on the pending “Mitte” initiative and the abolition of the notional rental income tax from 2029 onward.

The “Mitte” initiative, which will be put to a vote in November 2026, calls for joint taxation of married couples for federal direct tax purposes and could thus conflict with individual taxation. This could lead to a two-tiered tax system, the compatibility of which remains unclear and is influencing the political debate.