Swiss Set to Back Tax Reform, Gun Control in Sunday Referendums

(Bloomberg) -- The Swiss are heading to the polls on Sunday to decide on a reform for the country’s corporate tax system and new gun control measures.

The new tax regime would replace special tax breaks that multinational companies now enjoy but which Switzerland is forced to do away with to comply with international rules. An attempt to overhaul the system two years ago was rejected by voters, though approval looks likely this time.

The need for restrictions on semi-automatic firearms also comes from abroad, with the government adjusting current regulation to match European Union rules. While Switzerland isn’t a member of the EU, it is in the open-border Schengen area and therefore the law needs to be changed in accordance with stricter rules in the bloc.

Both measures are up for a vote because of Switzerland’s system of direct democracy which calls for mandatory referendums if 50,000 votes are collected within 100 days of a law passing. Balloting will end by noon local time and results are expected later on Sunday. Many Swiss already have submitted their votes by post.

To contact the reporter on this story: Catherine Bosley in Zurich at cbosley1@bloomberg.net

To contact the editors responsible for this story: Fergal O'Brien at fobrien@bloomberg.net, Zoe Schneeweiss

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