Switzerland has long been a premier destination for wealth management, asset protection, and corporate structuring. Known for its economic stability, strong legal system, and business-friendly environment, it offers a sophisticated financial infrastructure that attracts high-net-worth individuals, multinational corporations, and family offices. While Switzerland is not a traditional offshore jurisdiction, its favourable tax regime, extensive double taxation treaties, and specialized trust and fiduciary services make it an excellent choice for tax-efficient planning.

A key feature of Switzerland’s fiduciary landscape is its well-established trust and foundation structures. Although Switzerland does not have a domestic trust law, it recognizes and regulates trusts under the Hague Trust Convention, providing legal certainty for international clients. Swiss trustees and fiduciary firms are highly regarded for their expertise in wealth preservation, estate planning, and asset protection, making the country a leading jurisdiction for trust administration.

Advantages of Switzerland as a Tax Jurisdiction:

• Attractive corporate tax rates, varying by canton (as low as 12% in some regions).

• No capital gains tax on private investments in many cases.

• Extensive double taxation treaty network, reducing tax liabilities for international businesses.

• Special tax regimes available for holding companies and intellectual property income.

• Recognized trust structures, with strong legal protections for asset management and estate planning.

• Highly developed fiduciary services, offering tailored solutions for wealth structuring.

• Stable political and economic environment, ensuring long-term security.

Potential Considerations:

• Higher overall tax burden compared to zero-tax jurisdictions.

• Strict regulatory requirements, particularly regarding transparency and compliance.

• Wealth tax applicable in some cantons, depending on residency.

• Residency requirements for tax benefits, with limitations on non-residents.

Switzerland’s expertise in fiduciary services, coupled with its robust financial sector, makes it a preferred jurisdiction for trusts, private wealth management, and corporate structuring. Swiss trustees and fiduciaries provide highly personalized solutions, ensuring legal security and tax efficiency for individuals and businesses seeking long-term financial stability.

However, given Switzerland’s complex tax system and regulatory environment, expert guidance is essential for those looking to establish trusts or benefit from its financial services. With proper planning, Switzerland remains one of the most secure and strategically advantageous jurisdictions for wealth preservation and fiduciary management.