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ETH study: Those with the highest incomes pay the least tax in relative terms.

Switzerland Today

Dear Swiss Abroad,

As your salary rises, you have to dig deeper into your pockets to pay tax – in theory. However, a study by federal technology institute ETH Zurich now shows that, when all factors are taken into account, those with the highest incomes pay the least tax in relative terms.

The Swiss media are also reporting today on another case in which a man is alleged to have sedated and abused his wife for years. He has been in pre-trial detention in Geneva since May 2025.

In July, people held a vigil against sexual violence in Untersiggenthal.
In July, people held a vigil against sexual violence in Untersiggenthal. Keystone / Andreas Becker

A man is in pre-trial detention in Geneva for allegedly sedating and abusing his wife for years and sharing videos of the abuse online. Investigators tracked him down thanks to an undercover investigation by a journalist.

The man has been in pre-trial detention in Geneva since the end of May 2025; he is facing charges of rape and sexual assault. He was exposed by Canadian investigative journalist Avery Haines, who had been active on social media for months and had spoken to dozens of men under a false identity. She shares her findings in an interview with CH Media.

During her undercover investigation on a porn site, Haines discovered dozens of videos of a woman who appeared to be unconscious. Haines contacted the person responsible for the footage using a false identity. During their email correspondence, the man revealed his place of residence and first name, provided details of his occupation and described how he had drugged his wife and filmed her. Following further investigation, Haines handed over her findings and the email correspondence to Geneva police, who later arrested the man. He is presumed innocent.

A few months ago, Haines spoke to the wife. Haines says: “Women like Gisèle Pelicot [in France] and the women in the Untersiggenthal case in Switzerland, who speak out publicly, are incredibly brave. But we must also understand that not every victim can take this path.” The woman in this case wanted to be able to heal in private. “And there is nothing shameful about that.”

Swiss People’s Party parliamentarians wait to put their questions to the Federal Council during the extraordinary session.
Swiss People’s Party parliamentarians wait to put their questions to the Federal Council during the extraordinary session. Keystone / Alessandro Della Valle

The first week of the autumn session came to an end yesterday. Before that, however, the House of Representatives adopted several motions calling for tighter asylum policies during an extraordinary session – against the government’s wishes.

So far this year, more than 13,000 people have sought protection in Switzerland, 17% fewer than in the previous year. The declining figures appeared to make little impression on the House of Representatives. Among other things, the lower house approved a proposal by the right-wing Swiss People’s Party stipulating that Afghan women should, in future, generally no longer be granted refugee status but instead be granted provisional admission.

The House of Representatives also wants to introduce stricter measures for dual nationals. Specifically, they would in future lose their Swiss citizenship and be subject to deportation if convicted of the most serious crimes. Furthermore, the House of Representatives wants the government to reject any changes to EU rules regarding compensation for unemployed cross-border workers.

Other motions from the centre-right were successful in the House of Representatives. Those from the left, however, were all rejected. The Senate will now consider the motions that were adopted.

Despite the Swiss wealth tax: the 900 richest people pay the smallest proportion of tax on their income.
Despite the Swiss wealth tax: the 900 richest people pay the smallest proportion of tax on their income. Keystone / Christian Beutler

Those who earn more should also pay more tax. In other words, the tax system should be progressive. That is what the Federal Constitution states. Yet the opposite is the case.

A study by federal technology institute ETH Zurich shows that, when all income, wealth, taxes and levies are taken into account, those with the highest incomes pay the smallest proportion in tax – despite cantonal wealth taxes.

What is particularly new about the study is its methodology. Instead of using tax data, the researchers took as their starting point Switzerland’s total income and wealth, as reported by the Swiss National Bank. In doing so, they aimed to estimate the incomes of the wealthiest 1% more accurately. Using the method applied in the study, this figure rises by around half. This means that the wealthiest 1% generates around 17% of all income.

Specifically, the researchers allocated to owners the profits that companies retain rather than distribute. This is crucial, as the owners of these companies pay only corporate tax – and no income tax – on retained profits. These rates are lower, which is why the tax burden at the top falls, says economist Enea Baselgia. “We also see this pattern in all other countries for which such studies have been carried out so far.”

The price of diesel has reached a new high in Switzerland.
The price of diesel has reached a new high in Switzerland. Keystone / Anthony Anex

A record has been broken: the price of diesel has reached a new high in Switzerland.

A litre now costs an average of CHF2.41 ($2.92), the Touring Club Switzerland (TCS) announced today, surpassing the previous record set in 2022. But those driving petrol cars are also having to dig deeper into their pockets. A litre of unleaded 95 now costs CHF2.10 on average, CHF0.05 more than last week.

According to the TCS, several factors have led to the rise. On the one hand, the war in Iran and disruptions to oil shipments in the Middle East are putting pressure on the markets. At the same time, diesel and petrol exports from Russia have fallen sharply, with several oil infrastructure facilities and refineries there having been damaged.

But there are also supply bottlenecks in Switzerland. For example, the refinery in Cressier in canton Neuchâtel, which covers 30% of Switzerland’s mineral oil needs, was shut down for several days. Added to this is the fact that low water levels in the River Rhine have been hampering shipping for months, significantly increasing transport costs between Rotterdam and Basel. According to the TCS, this factor alone is currently adding around CHF0.15 to the price of a litre of fuel.

Translated from German, sub-edited by Alexandra Andrist/ts

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