Switzerland on Sunday overwhelmingly rejected a proposed 50% tax on inherited wealth of 50 million Swiss francs ($62 million) or more, with 78% voting against the plan, a result that exceeded even the two-thirds percentage indicated by opinion polls.
Bankers have watched the vote closely, seeing it as a real test of Switzerland’s desire to redistribute wealth, at a time when other countries, such as Norway, have raised their wealth tax or are discussing similar measures.
Switzerland is home to some of the most expensive cities in the world, and concern about the cost of living has gained momentum in local politics.
The proposal submitted by the youth wing of the left-wing Social Democratic Party, or JUSOs, aims to finance projects to reduce the impact of climate change. They said: “The super-rich inherit billions, and we inherit crises.”
Critics of the initiative said it could lead to a mass exodus of wealthy people from Switzerland, reducing overall tax revenues. The Swiss government asked people to reject it.