Swiss Divisions Highlighted By Vote On Imputed Rental-Value Tax

(MENAFN- Swissinfo) Imputed rental-value tax has long been a bone of contention between homeowners and tenants, but the divide runs much deeper. On September 28, the Swiss will head to the polls to vote on this controversial tax. Here is a closer look at what's at stake. This content was published on August 29, 2025 - 09:00 8 minutes

I work as editor and correspondent at the Federal Palace. I report on Swiss politics for the Swiss Abroad and manage our political talk show Let's Talk. I started in local journalism in the early nineties and have worked in many journalistic fields, held management positions and covered a range of topics. I joined SWI swissinfo in 2017.

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The debate over imputed rental-value tax is nothing new. But now, Swiss voters will decide whether to scrap this tax for homeowners. Swissinfo takes a closer look at who stands where, and why.

1. Old vs young generation

Abolishing the imputed rental-value tax is one of several proposals that promise clear benefits for those over 60 years of age.

Most older homeowners have largely paid off their mortgages, and their properties are generally well maintained, which means the imputed rental-value system offers them little benefit. With low mortgage interest and little renovation costs to deduct, all that's left is the main drawback of the system: the tax burden.

Last year, the older generation already scored a win with the proposal to introduce a 13th pension payment. Following the same pattern, the Centre Party's plan to abolish the“marriage penalty” on state pensions is also set to benefit retirees. The proposal, which is already in the pipeline, promises a potential pension boost for married couples.

Pensioners are the most reliable voters in Switzerland.“The median age of a Swiss voter is around 57,” says Martina Mousson, political analyst at the GfS research institute in Bern.

This means that the baby boomers, now aged between 60 and 80, have the power to shape Switzerland largely according to their own needs.

By contrast, those at a disadvantage are mainly young people, who vote less frequently, and foreigners, who are often not eligible to vote.

Foreigners mostly live in rented accommodation while 44% of Swiss voters reside in their own flats or houses. Looking at the entire population, including foreign nationals, that share drops by ten percentage points to about one third.

We explain here what the imputed rental value is and everything about the vote of September 28:

More More Swiss Politics Will Switzerland finally do away with imputed rental-value tax on homeowners?

This content was published on Aug 18, 2025 The Swiss imputed rental value system is complicated and provides opportunities for tax breaks. Citizens will vote on the issue on September 28.

Read more: Will Switzerland finally do away with imputed rental-value tax on homeowners

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