The case

Switzerland continues to balance international tax alignment while maintaining its competitiveness as a business location.

Source: KPMG

The commentary

Minimum Taxation in Transition: Switzerland introduced the OECD global minimum tax via the QDMTT in 2024 and the IIR in 2025, with further adjustments taking effect in 2026. Global implementation remains uneven, as several major economies are still outside the framework. In 2026, the US and the OECD agreed on a “side-by-side” solution exempting US groups from key OECD minimum tax rules, potentially strengthening the competitiveness of US companies and influencing investment decisions in Switzerland. In response, Swiss cantons are expanding targeted R&D and innovation incentives in order to remain attractive under the 15 % minimum tax regime.

Swiss Corporate Taxation 2026: Corporate tax rates remain stable at an average effective rate of around 14.43 %, with Lucerne offering the lowest rate at 11.66 %, followed by Zug at 11.71%. Only minor cantonal adjustments were introduced. Switzerland continues to rank among the most competitive corporate tax locations in Europe, particularly in Central Switzerland.

Swiss Income Taxation 2026: Personal income tax rates also remain largely unchanged. Zug continues to offer the lowest tax burden (21.90 %), while Geneva (43.24 %) and Basel-Stadt (39.75 %) remain among the highest-tax cantons. Overall, Switzerland maintains an internationally competitive personal tax environment, especially in Central Switzerland.