Switzerland plans VAT rise from 2028 to help fund state pensions

30 June 2026

On 19 June 2026, both houses of the Swiss Parliament approved a proposal to increase the standard VAT rate by 0.4%, from 8.1% to 8.5%.

The change would apply from 1 January 2028, but Swiss voters must still approve it in a referendum, expected in November 2026.

The increase is expected to raise around CHF 1.5 billion.

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