Lottery tax loophole will close

Parliament is going to close the loophole that could allow a lottery winner to avoid millions of francs in tax.

Last week, one lucky winner won CHF 65m. But that’s not what they’ll bank, tax will have to be paid. 

How much depends on the canton the winner is living in at the end of the tax year – which means they have time to move to a low tax town.

But both houses of parliament and the federal council all agree that tax will now be due in the canton where the winner was living when they won. 

Communities have lost out on tax revenue in the past. Recently the canton Zug finance director, Heinz Tännler, confirmed that many lottery winners have moved to his low tax canton over the years. 

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