In Glarus, wealth tax is levied on net wealth (Reinvermögen): the sum of worldwide assets minus deductible liabilities and statutory tax-free amounts (steuerfreie Beträge). The resulting taxable wealth is then subject to a simple cantonal rate of 3‰, multiplied by the annually fixed Steuerfuss of the Landsgemeinde.

This overview reflects current practice under the Steuergesetz des Kantons Glarus (StG), in particular Art. 37–46 StG on wealth tax, and the explanations in the Kantonsblatt Glarus and the official Wegleitung zur Steuererklärung for natural persons.

Personal Allowances (Tax-Free Amounts)

Glarus grants tax-free amounts on wealth that are deducted from net wealth before the wealth tax tariff is applied. These allowances depend on civil status, family situation and, in some cases, disability status. The decisive situation is the one as at 31 December of the tax year.

Figures are based on Art. 45 StG Glarus and the 2025 Kantonsblatt parameters: CHF 77,300 for single taxpayers, CHF 154,600 for jointly taxed spouses and qualifying single parents, CHF 25,800 per child and an additional CHF 25,800 for IV pensioners. These amounts are subject to annual indexation under Art. 47 StG (compensation of kalte Progression).

Debt Deductions

Wealth tax in Glarus is calculated on net wealth. As of 31 December, taxpayers may deduct legally enforceable, clearly documented liabilities from their gross wealth. Common deductible debts include:

• Mortgage balances on Swiss and foreign real estate held as private assets
• Bank loans, investment credit lines and margin loans
• Private loans with written agreements and interest documentation
• Outstanding federal, cantonal and municipal tax liabilities

Foreign-currency debts are translated into CHF using the official year-end exchange rates recognised by the authorities (usually those of the Federal Tax Administration).

Contingent or informal obligations (e.g. guarantees, sureties, letters of comfort) are not deductible until they materialise into an actual, enforceable liability.

Pension Assets & Retirement Accounts

As in other Swiss cantons, Glarus exempts certain retirement assets from wealth tax while they remain in the pension framework. The following are generally excluded from taxable wealth:

• Occupational pension assets in Swiss 2^nd pillar schemes (berufliche Vorsorge / BVG).
• Tied individual retirement accounts (pillar 3a).

Regular savings and investment products (pillar 3b) remain fully taxable. Pension buy-ins and pillar 3a contributions primarily reduce income tax; they affect wealth tax only indirectly by shifting funds from taxable private accounts into exempt pension vehicles.

Valuation Adjustments

Under Art. 38–44 StG, assets are generally valued at market value (Verkehrswert) as at 31 December, with specific rules for certain categories that can reduce taxable wealth compared to simple market values:

• Household effects: normal household goods and personal items of daily use (Hausrat und persönliche Gebrauchsgegenstände) are exempt from wealth tax.
• Securities and funds: listed securities are valued at official year-end prices; for many funds and structured products, tax values published by the authorities can be used.
• Business and agricultural assets: business assets are valued at the values used for income tax; agricultural land that falls under the federal agricultural land regime is typically valued at Ertragswert (income value).
• Real estate: cantonal valuation rules apply. Long-term agricultural use may trigger special valuation and, on change of use, a separate ergänzende Vermögenssteuer.
• Life and annuity policies: policies with a surrender value are taxed on that value; non-surrenderable claims are generally not part of the wealth tax base.
• Cryptocurrencies and digital assets: usually valued at the official year-end prices published by the Federal Tax Administration.

Marital Property & Family Context

Married couples living in an undissolved marriage are generally taxed jointly in Glarus. Their income and wealth are aggregated regardless of the matrimonial property regime, with the higher CHF 154,600 wealth allowance applying to their combined net wealth.

The assets of minor children under joint or sole parental authority are usually attributed to one parent’s tax return for wealth tax purposes (see Art. 33 and Art. 45 StG). This attribution drives both the per-child allowance and the question whether the higher joint/parental allowance applies.

Gifts, inheritances and other extraordinary inflows are included in taxable wealth as of 31 December unless they qualify for specific exemptions (for example, certain pension or insurance pay-outs). Separate provisions govern inheritance and gift tax and should be coordinated with wealth tax planning.

Documentation & Compliance

To support the wealth tax declaration, the Glarus tax administration expects clear and consistent documentation for assets and liabilities, including:

• Year-end bank and custody statements for cash, securities and collective investments
• Mortgage and loan balance confirmations as at 31 December
• Written agreements and interest statements for private debts
• Pension fund statements (2^nd pillar) and pillar 3a account summaries
• Valuation notices or accepted tax values for real estate and material private business holdings

Consistency between the income tax and wealth tax sections of the return (e.g. for securities portfolios and rental properties) helps avoid follow-up questions and adjustments during assessment.

Planning Insights

• The simple wealth tax rate of 3‰ combined with municipal and cantonal Steuerfüsse means that even moderate adjustments to taxable net wealth can have recurring effects over time.
• The relatively generous tax-free amounts (CHF 77,300 / CHF 154,600 plus CHF 25,800 per child and for IV pensioners) make it important to correctly code civil status and family situation in the return.
• Mortgages and investment loans can reduce taxable net wealth, but interest expenses lower overall returns and affect income tax; any debt restructuring should be modelled across both income and wealth taxes.
• Large holdings of low-yield or non-productive assets (excess cash, collectibles) above the tax-free amounts can increase wealth tax without improving returns. Reallocation into diversified portfolios or tax-advantaged pension vehicles may improve both risk/return and the long-term tax profile.
• In agricultural and business contexts, Glarus’ special valuation rules and possible ergänzende Vermögenssteuer on land use changes make timing and structuring of transfers particularly important. Early coordination with legal and tax advisors is recommended.