The Federal Council has officially set January 1, 2029, as the effective date for the housing tax reform, following its approval by the people and the cantons in a vote held in September 2025.
What Disappears
- Taxation of the Rental Value of Primary and Secondary Residences
- Deduction of maintenance and renovation expenses (except for rental properties)
- The Deductibility of Energy and Environmental Investments at the Federal Level
- Deduction of interest expense (except for the portion attributable to rental property)
What Is Introduced or Retained
- The cantons will be able to impose a special tax on second homes to offset their loss of revenue
- A Temporary Deduction for Interest on Mortgages for First-Time Homebuyers in Switzerland
- The cantons will be able to maintain energy-related deductions for a limited period of time
Why 2029?
The law requires the cantons to have at least two years to amend their legislation. Since the Conference of Cantonal Finance Directors requested that the law take effect no earlier than 2029, the Federal Council adopted this date to allow the cantons to simultaneously introduce the new tax on second homes and eliminate the imputed rental value.
