News Taxes

The imputed rental value will definitely be abolished

On Sunday, September 28, 2025, Swiss voters approved the federal resolution on cantonal property taxes, thereby indirectly accepting the federal law on the change in the system of taxation on residential property ownership.

What is going to change?

Abolition of imputed rental value taxation on primary and secondary properties
Cantons may introduce a special cantonal/municipal property tax (special wealth tax) for second homes.
Maintenance costs on owner-occupied properties are no longer deductible.
Investments in energy-saving and environmental protection measures are no longer deductible at the federal level. At the cantonal and communal levels, deductions will continue to be possible until a balanced greenhouse gas balance is achieved and until 2050 at the latest.
Costs for monument preservation work remain deductible at the federal level, and the cantons and communes may also allow them.
Debt interest deductions will now be calculated using the pro rata restrictive method, i.e. those who only own properties for their own use will no longer be able to deduct debt interest (in addition to mortgage interest, this also includes interest on consumer loans or bank loans).
For first-time buyers, a debt interest deduction limited to ten years is being introduced, which will be reduced by 10% each year. The maximum in the first year is CHF 10,000 for married couples and CHF 5,000 for all other taxpayers.

It can currently be assumed that the implementation period will be around two years, meaning that the system change will be implemented in the 2028 tax year at the earliest.

Are you the owner of a primary and/or secondary property, are you planning renovations, are you planning to purchase property, etc.? We are happy to answer any questions or clarify any uncertainties you may have: Remo Merz, certified tax expert remo.merz@fineac.ch.

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Remo Merz, 29th September 2025