Switzerland: Adopted popular vote on supplementary tax to implement OECD minimum tax

On 18 June 2023, the Swiss public voted to accept the Federal Council's proposed supplementary tax to implement the OECD/G20 deal on the taxation of the digital economy. The supplementary tax will apply to large companies with a global turnover of over EUR 750 million that are currently have a tax rate lower than 15% in their Canton of residence. The additional tax revenue will be split between the Confederation, receiving 25%, and the cantons and communes, receiving 75%. The additional revenue will be used to maintain the attractiveness of Switzerland and its regions as business locations. The Federal Council plans to issue temporary ordinance regarding minimum taxation which will be replaced by a federal law in the future.