In the city of Lucerne, the tax rate will fall in 2025
Published: Sunday, Dec 15th 2024, 14:10
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There will be a further tax reduction in the city of Lucerne next year. On Sunday, voters approved the 2025 budget and thus a reduction in the tax rate from 1.65 to 1.55 units.
The budget was approved with 79 percent of votes in favor (13,223 to 3507 votes). The turnout was 31.5 percent, according to the city. The vote was held because changes to the tax rate in the city of Lucerne are subject to a mandatory referendum.
The approved budget provides for a deficit of CHF 16 million with expenses of CHF 883 million and income of CHF 867 million.
The city government originally only wanted to reduce the tax rate for 2025 by 0.05 units. The loss would then have amounted to CHF 6 million. However, the FDP, Center Party, GLP and SVP pushed through a reduction of 0.1 units in parliament.
The tax rate in the city of Lucerne had already been reduced in 2023 and 2024. The reason given for the further tax reduction was that the city had made high profits in the last ten years and the financial outlook was good. In addition, tax revenue had increased by CHF 111 million to CHF 478 million between 2020 and 2023.
The SP and the Greens wanted to leave the tax rate at 1.65 units and therefore rejected the budget. Tax rate reductions are only of interest to the privileged and international companies. However, the city should not focus on these, otherwise there is a risk of "Zugerization".
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