Cantonal Council NW Nidwalden retains the tax deduction for unused living space
The Nidwalden cantonal council has rejected the abolition of the so-called underutilization deduction by 17 votes in favour and 39 against. With the proposal, the motion authors wanted to counteract the housing shortage in the canton.
25.09.2024, 09:59
SDA
The government was satisfied with the decision, as it was in favor of retaining the tax deduction. Finance Director Michèle Blöchliger (SVP) said in Wednesday's debate that abolishing the tax would result in "considerable additional expense" and would bring "no tangible benefit" to the general public.
The so-called underutilization deduction is a tax deduction that is granted if part of the home is not used. For example, when the children have moved out. However, the deduction is only permitted if the room is not furnished and is no longer used - not even as a storage room or guest room. The tax deduction also does not apply to second homes or vacation homes.
In the run-up to the debate, the Committee for Finance, Taxation, Health and Social Affairs (FGS), which was consulted in advance, spoke out in favor of abolishing the tax deduction. The under-utilization deduction is "an old braid that should be cut off". Although the motion would not solve the problem of the housing shortage, the initiative was a "first small sign", said committee president Roland Käslin (FDP).
"Taking concerns seriously"
Motionary Matthias Christen (GLP) said that the latest statistics had shown that there were still 100 vacant apartments in the canton of Nidwalden. This figure clearly shows the housing shortage. Christof Gerig (center) said that a vacant house blocked living space that was urgently needed. The request received support from the left. Daniel Niederberger (SP) said that the deduction for unused property was "unfair" and that the privilege for homeowners was "offensive".
The SVP successfully campaigned against the abolition of the tax deduction. Armin Odermatt said that the motion was not socially acceptable. It weakened older homeowners. Reto Blättler (FDP) spoke out in favor of "less bureaucracy". He was in favor of housing promotion, but the proposal should be discussed as part of the discussions on the revision of the tax law. Other voices criticized that a positive effect on the housing market was not to be expected.
A motion from the center to convert the motion into a weakened review request also failed to gain a majority in parliament and was rejected by 21 votes to 13.
In addition to Nidwalden, the tax deduction for unused living space is also known in the central Swiss cantons of Uri, Schwyz, Obwalden and Zug and the cantons of Basel-Land, Schaffhausen and Graubünden.
