Swiss National Council Backs VAT Increase to Fund 13th Pension Payment for Seniors

• Swiss voters approved a plan for a 13th monthly pension payment in March 2024
• The National Council’s committee supports funding this through a 0.7 percentage point VAT increase
• The Federal Council’s draft aligns with this VAT increase proposal
• The Council of States suggested a mix of higher payroll contributions and VAT increases
• The lower-house committee prefers a temporary VAT rise until 2030
• The committee rejected reducing the federal contribution to the pension fund
• Two draft bills to finance the 13th pension were approved by a narrow vote
• The National Council will discuss the issue in the autumn session

Source: lenews.ch

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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