Financing the AHV Baume-Schneider flirts with inheritance tax
Inheritance tax and raising the retirement age are not taboos for Federal Councillor Elisabeth Baume-Schneider when it comes to financing the AHV.
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- For Federal Councillor Elisabeth Baume-Schneider, inheritance tax and raising the retirement age are not taboos when it comes to financing the AHV.
- She wants to present the key figures for an AHV reform to the Federal Council in the first half of 2025
- However, the responsible National Council committee clearly rejected a national inheritance tax at the end of October, which means the idea will have little chance in parliament.
Inheritance tax and raising the retirement age are not taboos for Federal Councillor Elisabeth Baume-Schneider when it comes to financing the AHV. She said this in an interview. She pointed out that the 13th AHV pension would result in high costs.
She wants to present the key figures for an AHV reform to the Federal Council in the first half of 2025, Baume-Schneider said on Wednesday in the "Rundschau" program on Swiss-German television channel SRF.
However, after the responsible National Council committee clearly rejected a national inheritance tax at the end of October, the idea is likely to have no chance in parliament.
Firstly, the levying of an inheritance and estate tax is the responsibility of the cantons, according to the National Council's Economic Affairs Committee. Interference in their tax sovereignty should be avoided, as should the double economic burden that would result from combining a national inheritance tax with the existing wealth tax.
"Tax would not be a drama"
Secondly, the Commission warned of the negative consequences of implementing an inheritance tax. Wealthy individuals could move their capital abroad. In addition, the succession planning of many family businesses would be jeopardized.
A majority of the population inherit at the age of over 60, Baume-Schneider argued further in the "Rundschau". And: "A tax there would not be a drama." People are getting older, and that costs money. The Federal Councillor said that an increase in the retirement age should also be discussed.
However, it was only in March that voters rejected an initiative by the young FDP, which called for the retirement age to be raised to 66, by a massive 74.75 percent.
It is undisputed that the AHV is facing a billion-euro deficit in less than ten years.
