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Old 05.02.2019, 16:52
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Wealth tax - Geneva

Hi all,

Sorry, I am sure there is some overlap with previous threads, but I have not found explicit answers to my question, so was wondering if you could help me with a few questions regarding the wealth tax in Switzerland (Geneva specifically). I am on a B permit and taxed at source (earning <500k CHF). I have just submitted a questionnaire fortune for tax year 2018 and just wanted to get some answers before I have to fill out a tax return.

I have foreign real estate of value. However, I have very little liquid money in any currency and small CHF balances here, in sum below the threshold of 82k for GE wealth tax.

Am I right that because foreign real estate just changes the tax band I will owe no wealth tax despite having foreign real estate with a net value (minus mortgage) considerably above the lowest threshold?

Also, for next year, if we rent the property this year, do we declare the rental income as net income before foreign tax (rental income – costs [mortgage interest + rental fees + maintenance etc.]), or after foreign tax? Or do we declare it as gross income, including the costs/foreign tax as deductions in Swiss tax return?
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Old 05.02.2019, 17:09
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Re: Wealth tax - Geneva

If you are earning so much money, why don't you spend a very small amount on getting professional advice like everybody else does in this situation.


You'll save far more that it will cost
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Old 05.02.2019, 17:17
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Re: Wealth tax - Geneva

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If you are earning so much money, why don't you spend a very small amount on getting professional advice like everybody else does in this situation.


You'll save far more that it will cost
Nothing that he says suggests that he is a high earner. You are just reading into that what you will.
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Old 05.02.2019, 17:28
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Re: Wealth tax - Geneva

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Nothing that he says suggests that he is a high earner. You are just reading into that what you will.
"(earning <500k CHF)" suggests to me that it must be more than CHF400K...
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Old 05.02.2019, 17:39
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Re: Wealth tax - Geneva

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"(earning <500k CHF)" suggests to me that it must be more than CHF400K...
For me it says OP earns anywhere from CHF 0 to CHF 499'999.

Be aware: In other cantons the magic number is CHF 120k, but it is CHF 500k in Geneva.
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Old 05.02.2019, 19:18
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Re: Wealth tax - Geneva

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Be aware: In other cantons the magic number is CHF 120k, but it is CHF 500k in Geneva.
We really ought to have access to the list of all 26 cantonal amounts for reference.
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Old 05.02.2019, 20:35
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Re: Wealth tax - Geneva

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Nothing that he says suggests that he is a high earner. You are just reading into that what you will.

If he states a figure of "less than Chf 500k, i have difficultly thinking it is going to be also less than Chf 100k, or Chf 200k or Chf 300k or Chf 400k....
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Old 05.02.2019, 20:45
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Re: Wealth tax - Geneva

I should have been more specific! I only said <500k because it is Geneva. I earn way way less, around 100k.

Anyone know the answer though? It’s really for peace of mind and just to have some idea.

I will probably pay someone to help with the tax return anyway if the AFC (GE tax office) ask me to fill it out.
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Old 05.02.2019, 23:24
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Re: Wealth tax - Geneva

Well, with only Chf 100k, not too much to worry about, peanuts basicaly
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Old 06.02.2019, 07:05
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Re: Wealth tax - Geneva

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Well, with only Chf 100k, not too much to worry about, peanuts basicaly
But that's income. OP is asking about wealth tax amongst other issues.
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Old 06.02.2019, 07:56
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Re: Wealth tax - Geneva

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But that's income. OP is asking about wealth tax amongst other issues.



Exactl, with an INCOME of less than Chf 100k, i really can't imagine the wealth being too much, can you ?
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Old 06.02.2019, 08:04
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Re: Wealth tax - Geneva

Search the forum or check my posting history.

Someone else asked about wealth tax recently. I posted a link in that thread showing wealth tax by Canton for a few "landmark" amounts. Like, 500k-1mln-2mln, perhaps 250k as well.
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Old 06.02.2019, 15:55
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Re: Wealth tax - Geneva

I have spoken to a professional adviser. So can answer my own question.

Effectively, as only liquid or swiss assets make up the taxable base for wealth tax, even if you have millions in foreign real estate, if you don't have liquid and swiss assets worth the minimum threshold you pay no wealth tax. The % increases, but on a taxable base of 0.

However, it was confirmed that even if you don't rent the property they take the fiscal value and increase your tax band on the basis of imputed income

Thanks all.
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Old 06.02.2019, 19:18
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Re: Wealth tax - Geneva

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I have spoken to a professional adviser. So can answer my own question.

Effectively, as only liquid or swiss assets make up the taxable base for wealth tax, even if you have millions in foreign real estate, if you don't have liquid and swiss assets worth the minimum threshold you pay no wealth tax. The % increases, but on a taxable base of 0.

However, it was confirmed that even if you don't rent the property they take the fiscal value and increase your tax band on the basis of imputed income

Thanks all.
Could be also very useful to have a list of property taxable/no-taxable for all countries. I'm curious which places are better to invest in property tax wise.
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Old 06.02.2019, 20:38
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Re: Wealth tax - Geneva

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I have spoken to a professional adviser. So can answer my own question.

Effectively, as only liquid or swiss assets make up the taxable base for wealth tax, even if you have millions in foreign real estate, if you don't have liquid and swiss assets worth the minimum threshold you pay no wealth tax. The % increases, but on a taxable base of 0.



Really?

I don't think that's the case in Basel Stadt, but then BS isn't so great for taxes.
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