Switzerland Starts to Grapple With Fallout From G-7 Tax Reform Bid
(Bloomberg) -- Switzerland is reviewing what the global push to reform corporate tax could mean for its public coffers and how it can limit any damage to its economy.
The government says the country, known for its low taxes, can stomach a global minimum rate, and that it will do whatever is needed to ensure it remains a attractive location for business.
Officials are consulting with cantons to figure out how to offset the effects of any minimum tax, according to the Financial Times. The measures could include research grants, social security deductions and tax credits, the newspaper said.
When contacted by Bloomberg about the report, Switzerland’s Finance Ministry said it would comment on the bid to reform corporate tax in due course.
The newspaper article comes after Ernst Stocker, finance director for the canton of Zurich, told broadcaster SRF that the country would need to consider internationally accepted tools, such as tax deductions, in order to stay attractive.
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