Since January 1st, 2025, new rules apply to international successions. Given that they often involve real estate located in Switzerland being inherited by people abroad, the government will revise certain provisions.
Firstly, what new law regulating international successions went into effect in 2025?
The new law aligned previous rules more closely with European standards.
For instance, Swiss dual citizens can now choose whether to comply with the Swiss inheritance law or that of their other home country; foreign nationals living in Switzerland can also opt to follow the legislation of their home country.
What are the new changes about?
Homes, apartments, or land located in Switzerland sometimes fall into foreign hands when the original owner dies and leaves these assets to heirs living abroad.
The change proposed by the government concerns the inscription of properties in question – once they are inherited by a foreign resident – in the Swiss land registry – Grundbuch in German, registre foncier in French, and registro fondiario in Italian.
That’s because inscriptions of Swiss real estate inherited abroad are currently “sometimes unclear or not sufficiently harmonised,” the Federal Council explained.
Therefore, the government intends “to clarify and standardise the rules applicable to the transfer of real estate in international successions,” it added.
The consultation process in this matter will last until November 27th.
Will the rules concerning inheritance itself change as well?
No, laws pertaining to non-residents inheriting a property in Switzerland will remain the same.
What exactly does this entail?
The canton where the property is located – and not the heir’s country of residence – will determine the sales tax rules.
This means that when you sell an inherited apartment in Switzerland, Swiss tax authorities will claim a part of the proceeds, with the exact rates and other rules – including exemptions – depending on the canton.
But that’s not all: your country of residence may also want its share, depending on whether it and Switzerland have a tax treaty in place.
All this to say that if you live abroad but inherit a Swiss property, you will probably need a real estate attorney to handle the transfer.
READ MORE: How a change to Swiss inheritance law could affect you
