Lucerne to share OECD global tax revenue with municipalities by 2026
The canton of Lucerne has announced plans to share a portion of its revenue from the OECD global minimum tax with its municipalities. Starting in 2026, 25% of the additional funds generated by this tax will be passed on to local councils. The move follows the introduction of the 15% minimum tax for large multinational firms in 2024.
The OECD's global minimum tax, set at 15%, came into force last year. It targets major multinational companies, ensuring they pay a baseline level of taxation. Under the current system, 75% of the revenue goes to the cantons, while the federal government keeps the remaining 25%.
Lucerne's cantonal council has now decided to redistribute part of its share. From 2026, a quarter of the extra income from the supplementary tax will be allocated to municipalities. The proposal received unanimous support during its first reading. To ensure fairness, a guaranteed minimum payout has been set for local authorities. This means even smaller municipalities will benefit from the new arrangement, regardless of their size or tax base.
The decision will see Lucerne's towns and cities receive a direct share of the OECD tax revenue for the first time. The funds are expected to provide additional financial flexibility for local projects and services. Exact figures for Lucerne's total revenue from the tax in 2024 have not yet been released.
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