Geneva voters have rejected a proposal for a "solidarity" tax hike for the wealthiest 1% of residents in their city. The measure, which aimed to temporarily increase the wealth tax from 1% to 1.5% for individuals with assets worth over 3 million francs ($3.4 million), had been put forward by a coalition of left-wing politicians, activists and unions in response to the Covid-19 pandemic. However, it failed to gain enough public support, with 55.12% of voters opposing it in the final government results.
Proponents of the tax hike argued that the extra revenue generated was necessary to help deal with the social impacts of the pandemic, but the government of Geneva disagreed, stating that existing tax proceeds were sufficient. Business groups also cautioned that many of the city’s wealthiest residents might choose to move to nearby states with lower tax rates, potentially harming the local economy. In Norway, a similar wealth tax increase led to an exodus of millionaires from the country.
According to cantonal wealth-tax data, more than 19,000 of Geneva's approximately 500,000 inhabitants have assets of over 1 million francs, but only around 4,200 to 10,000 individuals would have been affected by the proposed tax hike - roughly 1% of the city's population.
On a national level, the Swiss electorate has voted in favor of introducing a 15% minimum tax for multinational corporations, in line with Organisation for Economic Co-operation and Development (OECD) standards. They have also laid out plans to aim for climate neutrality by 2050.