Old-age provision Federal Council does not want to stabilize AHV with financial transaction tax

Financial transaction taxes are not suitable for financially stabilizing the AHV. This is the conclusion reached by the Federal Council in a report that it adopted on Wednesday. Switzerland already generates higher income from financial transactions than comparable countries.

The Federal Council drew up the report on behalf of the Council of States. The paper was intended to show how a financial transaction tax would have to be structured in order to finance the AHV in the medium and long term.

However, according to its press release, the Federal Council recommends that no financial transaction tax should be levied in favor of the AHV. Neither the existing emissions and turnover taxes should be used to finance the AHV nor should new financial transaction taxes be levied.

Switzerland already has two financial transaction taxes, the emissions tax and the turnover tax. The proceeds of the emissions tax amount to an average of CHF 250 million per year, those of the turnover tax to CHF 1.3 billion.