The Vaud authorities thought they had passed the hardest hurdle with the acceptance by their residents of a reduction of the profit tax rate to 13.79%. However, the uncertainty caused by the refusal of the Swiss Corporate Tax Reform III (CTR III) on 12 February 2017 continues to rule.
The Corporate Tax Reform III aims at maintaining Switzerland’s attractiveness for international headquarters. In the course of this tax reform, the Government of the Canton of Vaud, home to many multinationals’ international global or regional headquarters, published its roadmap on 4 April 2015.
With the intention of sending a clear signal to the many multinational companies located in the Lausanne/Geneva area, the Canton of Vaud has provided an intermediary report of its plan on how to lower its current corporate tax rate of 21.65% to 13.79%.