Zuletzt aktualisiert: 15 Nov 2025

Germany–Switzerland Inheritance: Swiss Cantonal Inheritance/Gift Taxes

Where a Swiss cantonal inheritance or gift tax applies in addition to (or instead of) German inheritance tax, it can be part of the ausländische Erbschaftssteuer credited in Germany under §21 ErbStG — provided it taxes the dieselbe ausländische Vermögensscheibe that Germany includes in the assessment.

1) Cantonal tax landscape (orientation)

Die Schweiz hat keine föderale Erbschaftssteuer. Instead, most cantons and some communes levy inheritance and/or gift taxes. Many cantons exempt transfers to spouses (and often descendants), but tax more remote heirs and in some cases non-resident owners of Swiss real estate. Below are illustrativ cantons practitioners frequently encounter in Germany–Switzerland files.

This is not an exhaustive list. Always confirm the current rule set for the relevant canton(s) and year of death using Schweizer Erbschaftssteuer nach Kanton.

2) How cantonal taxes feed into Germany’s §21 credit

• Concept: Germany may credit ausländische Erbschaftssteuer (here: Swiss cantonal inheritance/gift taxes) paid on the same foreign assets that are included in the German assessment.
• Credit ceiling: For the Swiss Auslandsscheibe, the credit is capped at the German tax attributable to that slice (calculated per §21 ErbStG).
• Inheritance vs. gift tax: Where lifetime transfers and death transfers are both relevant, ensure that only death-related taxes are treated as “foreign death duties” for §21 (gifts are usually handled differently in Germany).
• Per-beneficiary lens: German inheritance tax is beneficiary-based. Many cantonal rules also depend on the Beziehung to the deceased (e.g. descendant vs. sibling). Align cantonal assessments and payment proofs to the same beneficiary that is taxed in Germany.

3) Allocation across multiple cantons

When assets or residence ties span several cantons:

• Map the situs of each asset (e.g., real estate by canton where the property is located; bank accounts by branch or domicile rules; business interests by seat of the company / registered office).
• Track payments by canton (and commune where relevant) and by beneficiary when cantonal inheritance tax is recipient-based or has differentiated rates by relationship.
• Compute the German cap on a pro Land basis (Germany credits per foreign country, here Switzerland). Internally, maintain a sub-allocation schedule that breaks the Swiss slice down by canton to tie proofs to assets.
• Avoid double counting: Several cantons must not be simply added beyond the German cap for the Swiss slice. The sum of cantonal (and any communal) taxes on the same Swiss slice is still limited by the German credit ceiling.

4) Worked mini-examples

A) ZH real estate + DE securities (child as heir)

• Assets: Zürich apartment €800k; DE brokerage €400k. Child (Class I in DE). No debts.
• German taxable base after child allowance (€400k): €(800k + 400k − 400k) = €800k.
• German tax (simplified, Class I bracket) at 19%: €800k × 0.19 = €152k.
• Swiss slice proportion (gross): €800k / €1.2m = 66.67% → German tax attributable to Swiss slice ≈ €152k × 66.67% ≈ €101k.
• ZH inheritance tax on the apartment (child exempt under current ZH rules – typical) = €0 → Credit in Germany = €0; German tax remains €152k.

Even with no Swiss tax, the valuation and situs mapping still matter for the German assessment.

B) VD real estate to sibling (Class II in DE)

• Assets: Vaud house €600k to sibling. No other assets. No debts.
• German allowance for “other heirs”: €20k → German taxable base €580k.
• German tax (simplified, Class II) at 20% for this band: €580k × 0.20 = €116k.
• Swiss cantonal inheritance tax in Vaud for siblings (illustrative) paid: €45k.
• Swiss slice is the entire estate → German tax attributable to Swiss slice = €116k → Credit = min(€45k, €116k) = €45k; German tax payable ≈ €71k.

C) BE portfolio + ZH apartment (mixed heirs)

• Assets: Bern portfolio €300k to niece; Zürich apartment €500k to child. No debts.
• Germany – child: DE allowance €400k fully covers their €500k share (subject to family-home rules, etc.) → little/no German tax for that beneficiary.
• Germany – niece: allowance €20k → taxable €280k, assume 20% (Class II) → German tax €56k.
• Swiss taxes: no tax on child in ZH (exempt for descendants); Bern inheritance tax on niece’s €300k, say €30k.
• Swiss slice relevant for §21 for the niece = Bern portfolio only → German tax attributable to niece’s Swiss slice ≈ €56k → Credit = €30k; residual German tax for niece €26k.

These are highly simplified illustrations. Real cases must include debts, local exemptions, lump-sum costs, and potential German reliefs (e.g. business relief).

5) Documents Germany expects

• Cantonal assessment(s): official inheritance/gift tax notices per canton (and commune, if separate); if issued by a local tax office, include the full assessment and any calculation attachments.
• Proof of payment: payment slips with bank confirmation, account statements, or official confirmations from the tax authority.
• Situs memo: mapping of Swiss assets (real estate, bank accounts, participations) by canton, linked to the German inheritance tax returns.
• Allocation schedule: a per-beneficiary summary that totals cantonal taxes on the Swiss slice and compares them with the German tax attributable to that slice (to demonstrate the §21 cap).
• Translations & certifications: where requested by the Finanzamt, certified translations of key assessments and payment proofs, plus copies of original documents.

6) Common pitfalls

• Using canton totals without asset mapping: leads to §21 queries. Always show which assets (and beneficiaries) each cantonal payment relates to.
• Assuming “no Swiss tax” for all close relatives: some cantons still tax descendants or have special rules; check the canton overview and year of death.
• Ignoring beneficiary classes: Cantonal rates depend heavily on relationship; in Germany, tax class I/II/III also differs—misalignment creates mismatched assessments.
• Mismatched dates/FX: Align date-of-death values, payment dates, and FX rates between German and Swiss computations; document which rates were used.
• Double counting cantons beyond the cap: The German credit is limited; clearly show the cap and how total Swiss tax fits under it.

7) Next steps & services

Foundations & estate support: Strukturierung der Stiftung - Internationaler Vollstrecker