Regulatory updates - Switzerland

If approved in a public referendum, expected in November 2026, certain VAT rates will change:

• Standard VAT rate will increase from 8.1% to 8.5%
• Accommodation VAT rate will increase from 3.8% to 4.0%
• Reduced VAT rate of 2.6% for essential goods (including food and medicines) will remain unchanged

The first 13th pension payment is scheduled for December 1, 2026, with annual costs estimated at CHF 4.2 billion (c.a. €4.57 billion). Additional VAT revenue will be allocated exclusively to the AHV fund.

More information can be found at the official Swiss Parliament announcement.

Currently, the following rates are effective:

• Standard rate - 7,7%
• Special rate - 3,7%
• Reduced rate - 2,5%

Starting January 2024 , they will increase to:

• 8,1% for the standard rate;
• 3,8% for the special rate;
• 2,6% for the reduced rate.

More information about the amendment can be found here.