News Taxes

Tax relief for families in the canton of Zug

Planning 8th partial revision of the Zug tax law: Further relief planned, especially for families.

After the government council passed the 8th partial revision of the Zug tax law in the first reading, the finance directorate has now been instructed to open the consultation procedure and submit it to the cantonal council. The key points of the revision are the following:

Increase in childcare deductions:
- Third party care deduction to be increased from Fr. 6 000 to new Fr. 25 000 (same as federal) (see LINK News Fineac).
- Deduction for own care should be increased from Fr. 6 000 to Fr. 12 000

Reduction of wealth tax: general reduction of the wealth tax rate by 20% and increase of the tax allowances

Moderate reduction of the income tax rate: General reduction by 5%

Indefinite retention of the increased personal deductions from 2021 to 2023: Fr. 11 100 (instead of Fr. 7 100) for single persons and Fr. 22 200 (instead of Fr. 14 200) for married persons are to remain (see LINK News Fineac)

In addition, cantonal legislation is to be aligned with federal legislation. The broad and balanced range of measures is intended to benefit all taxpayers in Zug and in particular to provide further relief for families. The measures are to be implemented on January 1, 2024. First, however, the cantonal council has to decide on this and, in the event of a referendum, also the cantonal population.

For any further questions or advice, please contact Remo Merz, Swiss certified tax expert, merz@fineac.ch.

WHAT we do is not unique, but HOW we do it.

Remo Merz, 2 March 2022

Keywords: Tax, Tax return, saving, revision of the Zug tax law