Switzerland
Switzerland Lump-Sum Taxation Residency (Forfait Fiscal)
Also known as: Pauschalbesteuerung, Imposition d'après la dépense, Swiss Lump-Sum Tax Residence
- Min investment
- $280K
- Program tier
- Renewable Temp
- Program type
- Investor Visa
- Initial validity
- 1 yr
- Renewable
- Yes
- Path to PR
- 10 yr
- Path to citizenship
- 10 yr
- Schengen access
- Yes
Investment options
Passive Income Proof
$280KLump-sum taxation — applicant agrees to pay annual tax on a deemed taxable base. Federal floor for 2026: CHF 434,700-435,000. Minimum total tax burden in cantons offering the regime: typically CHF 250,000-300,000/year for non-EU/EFTA applicants, varying by canton. Taxable base = highest of (a) federal floor (b) 7x annual rent or rental value of Swiss residence (c) 3x annual cost of full board/lodging if hotel.
Physical presence
Path to citizenship
- Available: Yes
- Minimum years: 10
- Physical-presence years: 10
- Language test: Yes
Federal naturalization requires 10 years residence (years 8-18 count double); cantonal/communal residence in current canton 3 of last 5 years; integration; language proficiency (B1 spoken, A2 written in official language); civic knowledge. Dual citizenship allowed. Cantonal approval is the binding step — politically discretionary.
Tax implications
- Becomes tax resident automatically: Yes
- Worldwide income taxed: No
- Territorial tax system: No
- Day-count for tax residency: 90 days
- Wealth tax: Yes
Lump-sum taxation REPLACES standard income and wealth tax with a fixed annual sum based on deemed expenditure. Foreign income NOT taxed under Forfait. Swiss-source income (employment, real estate, business) taxed normally — applicant must refrain from Swiss gainful employment. Swiss wealth tax applies only to Swiss-situs assets. Cantonal variation significant: Geneva, Vaud, Valais, Ticino, Grisons offer Forfait; Zurich, Basel-Stadt, Basel-Landschaft, Schaffhausen, Appenzell Ausserrhoden abolished it.
Family inclusion
- Spouse: Yes
- Children under 18: Yes
- Dependent adult children: No
- Parents: No
Spouse and minor children included under family permit. Lump-sum agreement covers principal's household (spouse and minor children); adult dependents must qualify separately.
Additional fees
- Application fee: $200
- Government fees: $1K
- Legal/agent (est.): $25K
Residence permit B fees CHF 100-300. Annual cantonal/communal fees minimal. Legal/tax-advisor fees CHF 25,000-75,000 typical for setup and annual administration. Health insurance mandatory (~CHF 400-800/month per adult).
Eligibility requirements
- Non-Swiss citizen first establishing tax domicile in Switzerland OR returning after 10+ years outside
- Refrain from any gainful employment in Switzerland (passive investment/management of own assets OK)
- Sufficient wealth and income to support the lump-sum tax
- Approval by both cantonal tax authority and cantonal migration office (Permit B)
- Health insurance covering Switzerland
Disqualifiers
- Swiss citizenship
- Gainful employment in Switzerland
- Residence in cantons that abolished Forfait (ZH, BS, BL, SH, AR)
- Insufficient deemed-expenditure to meet cantonal minimum
Recent changes
- 2014
Federal reform raised lump-sum minimum threshold; certain cantons (Zurich, Basel-Stadt, Basel-Landschaft, Schaffhausen, Appenzell Ausserrhoden) abolished the regime.
- 2024-2026
Federal minimum taxable base adjusted annually for inflation — CHF 434,700 for 2026.
- 2026
11 cantons continue to offer Forfait. Annual tax burden practical minimum CHF 250-300K for non-EU/EFTA applicants. Geneva and Vaud most popular for international HNWIs.
Notes
Switzerland Forfait is the original 'tax-residency-by-fee' product (1934). Annual cost (CHF 250-450K+/year) makes it strictly UHNW. For those who can afford it, Switzerland offers world-class infrastructure, banking, schools, security, and second-tier privacy. No wealth tax on foreign assets; no income tax on foreign income. Switzerland is NOT EU but IS Schengen. Path to citizenship is long (10+ years) and politically uncertain — Forfait holders rarely naturalize because the lifestyle / mobility benefits don't require it. Major caveat: must NOT work in Switzerland.
EasyPassport is a document-organization tool focused on citizenship by descent. This page is reference research, not legal or financial advice. Always verify with the official program authority.