Depending on property would even be a good investment as then you would be a partial owner with a good chance of buying the rest at discount too.

Point taken, thanks for clarifying that my residency status -at any time- is not relevant to taxation of an inherited property.

Speaking of worldwide income, are the Swiss allowed to inquire about my worldwide bank accounts? It's on my Swiss tax form but doesn't seem to be a compulsory question.

Hmm, would rather sell if possible. Don't want to deal with taxes in possibly 3 countries!

She never lived in Italy, it is inherited property from her great grand mother, who left Trieste when it was still Austrian in 1892, and passed to her grandmother (who had never lived there) in 1943 when it was Italian, and thus down the line.

Also responsible for any taxes her mother didn't pay.

Tom

Maybe it’s worth discussing what kind of tax we’re talking about here. I don’t think you’re liable for any tax in Switzerland other than that on the property you own (e.g. income tax). You don’t need to declare taxes in Switzerland, only pay the taxes on the flat. If you don’t pay them, they’ll accumulate and one day, when you want to sell the flat, you’ll have a large pile of backtaxes plus interests plus admin fees. I can only imagine it’s not a lot money to pay every year, considering the potential sales value down the road.

Now, there must be someone living on that flat. If your mum and sister (the co-owners) live someplace else, who’s getting the rent on the flat? Or is it empty? I mean, 1 month’s worth of rent is probably more than enough to cover the full yearly taxes on that property.

__________________
The internet makes it easy to be a jerk and forget the person we're talking to is a human. It also makes us see messages from awful people and assume they come from normal peers.

Switzerland uses worldwide income to determine taxation rate to be applied to income that is taxable in CH.

So for example, if you rented the flat and generated income in CH, they would use your worldwide income.to determine the tax rate and then apply it to the income generated by the rent.

Except that if rented out, the rent is considered income and would be taxed using worldwide income to determine tax rate. So not sure depending on the value that one month would cover it.

"My mother continues to live in the apartment"

Tom

As always in Switzerland: It depends on the canton. In canton Aargau, only the local net income of the property is relevant (for a non-resident).

If no rental income is generated the imputed rental value is used as income. Imputed rental income is in the range of around 60 - 70% what a comparable objects makes on the market. If the property is rented out and it generates less than 50% of the market value the imputed rental value might be used instead. Maintenance costs and mortgage interest can be deducted.

Jee, I forgot that by the time I got to the end of the thread.

Who would forbid them? If you do not disclose your worldwide income, and it is relevant to calculate the tax rate they just guestimate it. If you do not object they will increase it each further year until you start to object. A very simple and effective approach.

I'm not saying it does - but this is a family.

In this situation I'd just tell my mum this is costing me X CHF / year and she'd reimburse me. This is unlikely to be a huge sum of money.

OP have you not just talked to your mum about it?

It normally is, and it often doesn't end well with such.

MIL died 10 years ago, there are still "issues" with other family members regarding common property.

Tom

Could you not sign the property fully over to your mother (she might be taxed on the gift??). Then you’ll have no tax to pay on it. You would inherit it back later.... but then you could sell it!

Are you sure about this? I may be wrong but I thought it was Swiss practice to look at overall income to determine tax rate on Swiss income and not a Zurich thing?

At least it says so here. Canton ZH vs. AG.

Unless she gives it to someone else.

Tom

Stop trying to be a tax cheat and just pay up, your life will be simpler, and legal.

Tom

Is that a rule- 60% reduction when selling to other heirs?

No.

But it's probably all that they are willing to pay.

Tom