Global Daily Tax News, Swiss National Council Votes On Marriage Tax Reform Options, (Sep 19, 2025)

Switzerland's National Council has voted against the adoption of an initiative on the repeal of the "married penalty" under federal tax law, without a counterproposal, by 99 votes to 92.

Lawmakers voting against the initiative consider the proposed model unsuitable and instead supported individual taxation.

Back in June 2025, lawmakers in Switzerland's Council of States, too, supported draft legislation on the introduction of independent taxation for married couples by a single vote.

The popular initiative provides that married couples should be obligated to file separate returns.

The initiative is intended to remove disincentives for lower-earning partners within a married couple to engage in work or increase their working hours. It also seeks to ensure fairness, with jointly assessed, dual-income married couples often facing higher burdens.

The introduction of individual taxation would be implemented after a period of several years, and a referendum is expected prior to adoption. Tax rates would be altered to lower the cost of the reforms, estimated at CHF600m annually (USD734m) from the first year.

The initiative newly rejected by the National Council would have enshrined preferential tax treatment for married couples in the constitution.

A statement issued following the National Council's vote said "The individual taxation system adopted in June achieves [parity] and preserves flexibility by not being enshrined in the constitution."

However, according to the statement, some 16 cantons are opposed to individual taxation, while 10 support the proposal.

Individual taxation is expected to be put to a federal vote in the first half of 2026.