Inheritance tax in Switzerland: What you need to know

Moving to Switzerland from the UK? One of the more complex things you’ll need to get to grips with as a new arrival is the country’s tax system, and this includes inheritance tax.

You might have older relatives living in Switzerland or be making your own plans for retirement and later life. Or perhaps you’ve just had the news of an inheritance of Swiss property, and need to know how much tax you’ll pay.

Read on for a full guide to inheritance tax in Switzerland, including rates, allowances, exemptions and how to calculate it.

We’ll also show you how to send large amounts of money securely between countries using the Wise Account. This can be extremely useful if you have inheritance tax to pay, or want to send money from an inheritance back to the UK.

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Table of contents

What is inheritance tax? Inheritance tax in Switzerland Who pays inheritance tax in Switzerland? Inheritance tax rates in Switzerland Taxable assets and exemptions How to calculate inheritance tax in Switzerland How to pay inheritance tax in Switzerland Wise - For big money transfers at life’s big moments FAQs about inheritance tax in Switzerland How much can I inherit without paying inheritance tax in Switzerland? Do foreigners pay inheritance tax in Switzerland? What is the inheritance tax initiative in Switzerland? Which EU countries have no inheritance tax?

What is inheritance tax?

Inheritance tax, known as IHT in the UK, is a tax paid to the government on the estate of someone who has died. The ‘estate’ usually encompasses all property and possessions, as well as savings, investments and pensions.

Many countries have inheritance tax systems. Depending where in the world you are, the tax may be known as estate tax, inheritance tax or succession tax.

However, not all countries have this kind of tax in place. New Zealand, Singapore, Portugal and Canada are among a handful of countries which don’t charge inheritance tax at all.¹

Inheritance tax in Switzerland

Switzerland does have inheritance tax laws, but they apply by canton (the member states of the Swiss Confederation). There are no national-level inheritance tax laws.

Unlike in the UK where inheritance tax is payable by the estate, in Switzerland it’s payable by each beneficiary individually.

Each person has a tax-free personal allowance, and they’ll have to pay tax on anything they inherit above this threshold.

Spouses (and registered partners), children and grandchildren of the deceased person are usually exempt from inheritance tax, although the rules and conditions do vary between cantons.

For other beneficiaries, rates of inheritance tax are applied according to their relationship with the deceased - and these also vary by canton.

Who pays inheritance tax in Switzerland?

Swiss inheritance taxes are payable by all beneficiaries of an estate where the deceased person was living in Switzerland at the time of their death. However, tax is only payable on property and assets held in Switzerland.³

Spouses, registered partners, children and grandchildren of the deceased person are usually exempt from inheritance tax.²

Each beneficiary will need to pay inheritance tax to the authorities. This is different to how it works in the UK, where a lump sum of tax is paid out of the estate.

If any property is located outside of Switzerland, and either the deceased person lived abroad or any of their heirs live abroad, the laws in the other country may apply when it comes to inheritance tax. Switzerland has double taxation treaties in place with a number of countries including the UK, in order to prevent inheritance taxes being paid twice.²

It’s important to get professional tax advice to double check which country’s tax laws apply to you, especially if you live between countries or have property in multiple countries.

Inheritance tax rates in Switzerland

In the UK, a flat rate of tax is applied to estates valued over a certain sum. However, it works differently in Switzerland.

The Swiss system uses tax rates which vary depending on the relationship of the beneficiary to the deceased. Spouses, children and grandchildren are usually exempt.²

For everyone else, a tiered scale of tax rates applies - and these vary by canton. Each beneficiary has a personal tax-free allowance, above which tax will apply according to their relationship to the deceased and the amount they inherit.

Here’s a quick look at the current inheritance tax rates and personal allowances in Bern, the Swiss capital:⁴

Value of inheritance (CHF)	Inheritance tax rate
Up to 110,600	1%
110,600 to 221,200	1.25%
221,200 to 331,800	1.5%
331,800 to 442,400	1.75%
442,400 to 553,000	2%
553,000 to 663,600	2.25%
663,600+	2.5%

All beneficiaries have a tax free allowance of 12,000 CHF. There’s an additional ‘multiplier’ applied to the tax rates above, based on the beneficiary’s relationship to the deceased:⁴

• Multiplier of x6 - Parents, grandparents, siblings and co-habitees for 10+ years
• Multiplier of x11 - Nephews, nieces, aunts, uncles and in-laws
• Multiplier of x16 - Other heirs and non-related beneficiaries

It works differently in other Cantons. For example, in Geneva, you’ll pay a rate of between 6% and 26% depending on your relationship to the deceased person - regardless of the value of the inheritance.⁴

Taxable assets and exemptions

Under Swiss inheritance laws, nearly all property and assets are considered to be taxable assets. The exceptions are personal effects and household goods,² as well as business assets. Property located overseas is also excluded from the list of assets taxable under Swiss inheritance tax law.³

The estimated value of real estate, possessions and money will be added up, along with the person’s debts (if any). Debts will be subtracted from the assets to come up with the total taxable value of the estate.

How to calculate inheritance tax in Switzerland

Here’s an overview of how Swiss inheritance tax can be calculated:

1. The taxable net asset is calculated, by minusing the liabilities (debts) from the value of the inventory of assets. For property, the current market value will be used.
2. The taxable net asset is then distributed between heirs, according to Swiss inheritance laws and the will of the deceased person.
3. For each beneficiary, the taxable sum is the amount left after their personal allowance has been deducted (in cantons which have a personal allowance).
4. On the remaining sum, tax rates will apply according to the value of the inheritance received and/or the beneficiary’s relationship to the deceased person.

How to pay inheritance tax in Switzerland

If you are a beneficiary who is liable for inheritance tax, you’ll need to file an inheritance tax return with the relevant canton authority - this will likely be the canton where the deceased person lived or where their property is. You’ll have between 30 days and 6 months to do this - it varies by canton.³

You’ll then have a further 30 days to pay the tax owed.³ You may need to contact the relevant canton to find out about accepted payment methods.

To accept an inheritance and pay the taxes owed, you’ll need a document known as a certificate of inheritance. This is available from cantonal authorities, usually for a fee.

If you’re living in the UK or another country, a solution such as Wise could be ideal for sending a payment for inheritance tax to Switzerland. You can send money worldwide with Wise, for low fees* and mid-market exchange rates. There’s even a dedicated service for securely sending large amounts.

Wise - For big money transfers at life’s big moments

After reading this, you should have a better idea of how the Swiss inheritance tax system works - and how it applies to you and your family. We’ve looked at personal allowances, rates, exemptions and who has to pay the tax.

We’ve also covered how to pay inheritance tax in Switzerland. If you need a way to pay inheritance tax, send inherited money back to the UK or generally manage your finances between countries - Wise is a great solution.

With Wise, you can hold and convert between 40+ currencies in your online account. And you can send money worldwide for low, transparent fees* and mid-market exchange rates.

If you’re sending a large sum between countries, read our quick guide on what documents you’ll need.

Whether you’re paying foreign bills or trying to get the best exchange rates when repatriating funds from overseas back to the UK, your Wise account can do it all.

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FAQs about inheritance tax in Switzerland

Here are some commonly asked questions:

How much can I inherit without paying inheritance tax in Switzerland?

It all depends on your relationship to the person who has died, and the Swiss canton they lived in - this will be the authority the tax will be paid to.

Close relatives such as spouses, children and grandchildren are generally exempt from inheritance tax in Switzerland,² while in some cantons a tax-free personal allowance of 12,000 CHF is granted.⁴

Do foreigners pay inheritance tax in Switzerland?

If you’re a foreign national either living in Switzerland or living outside the country when you inherit Swiss property - and the deceased person was a Swiss resident at the time of their death - you may need to pay local cantonal inheritance taxes.

However, Swiss laws also allow for foreign nationals to choose which country’s tax laws apply.² So it may be the case that UK inheritance tax laws apply, and you can avoid paying tax twice (once in the UK and once in Switzerland) by making an application under the UK-Switzerland double taxation treaty.

Tax can be extremely complicated, so it’s recommended to get expert tax advice on which country’s tax laws apply to you and what your obligations are.

What is the inheritance tax initiative in Switzerland?

The inheritance tax initiative known as ‘For a Social Climate Policy Financed in a Fiscally Fair Manner (Future Initiative)’ is a proposal to introduce a federal inheritance tax in Switzerland. It would only apply to amounts over 50 million CHF, and a flat tax rate of 50% would be applied.⁵

The Swiss Government recommended rejecting the initiative, and both houses of Parliament voted against it. There will be a popular vote on the proposal on 30th November 2025.⁵

Which EU countries have no inheritance tax?

Within the EU, the following countries have no inheritance taxes:⁶

• Austria
• Cyprus
• Estonia
• Latvia
• Malta
• Romania
• Slovakia
• Sweden.

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Sources used:

1. No More Tax - 10 jurisdictions with no inheritance tax
2. CH.CH - Inheritance tax
3. RSM - Swiss Inheritance Tax Guide
4. Expatica - Inheritance tax in Switzerland
5. Altenburger - The Swiss Federal Inheritance Tax Initiative: Key Considerations Ahead of the Referendum on 30 November 2025
6. Euro News - Inheritance tax across Europe: How do the rules, rates and revenues vary?

Sources last checked on date: 21-Jul-2025