Zug Wealth Tax Cases
Zug Wealth Tax: Cases & Worked Examples
Illustrative computations showing how Zug’s low cantonal base and municipal multipliers apply in practice across common taxpayer profiles.
The following examples demonstrate how Zug’s progressive cantonal base and municipal multipliers interact. They use indicative 2025 values for explanatory purposes only. For official computations, use the Zug Wealth Tax Calculator and reference the cantonal tables.
All numbers rounded; church tax ignored. Rates approximate for planning illustration.
Case A — Single Professional in the City of Zug
- Commune: Zug (multiplier 0.70)
- Assets: CHF 1,000,000 (securities & cash)
- Liabilities: none
- Allowance: CHF 80,000
| Taxable net wealth | CHF 920,000 |
|---|---|
| Cantonal base | 0.22% → CHF 2,024 |
| Municipal multiplier | 0.70 → ×1.70 |
| Wealth tax due | ≈ CHF 3,440 |
| Effective rate | ≈ 0.34% |
Observation: The city’s rate remains well below Zurich’s equivalent burden at similar wealth levels.
Case B — Married Couple, Two Children, Commune Baar
- Commune: Baar (multiplier 0.65)
- Assets: CHF 2,500,000 (real estate + portfolios)
- Liabilities: CHF 600,000 mortgage
- Allowances: CHF 160,000 + children add-ons
| Net wealth | CHF 1,900,000 |
|---|---|
| Less allowances | − CHF 180,000 |
| Taxable wealth | CHF 1,720,000 |
| Cantonal base | 0.24% → CHF 4,128 |
| Municipal factor | × 1.65 |
| Estimated tax | ≈ CHF 6,815 |
| Effective rate | ≈ 0.27% |
Planning angle: Leverage (mortgage) reduces taxable wealth directly; the impact scales with the canton’s low marginal rates.
Case C — Entrepreneur Holding Private Company (Cham)
- Commune: Cham (multiplier 0.60)
- Unlisted shares: CHF 3,000,000 (valued by practitioner method)
- Other assets: CHF 500,000 cash/securities
- Liabilities: CHF 200,000 loan
- Filing status: Married, no children
| Taxable wealth | ≈ CHF 3,300,000 |
|---|---|
| Cantonal base | 0.24% → CHF 7,920 |
| Municipal factor | × 1.60 |
| Total tax | ≈ CHF 12,672 |
| Effective rate | ≈ 0.38% |
Assumes consistent valuation across years under practitioner method.
Case D — Nonresident Owning Apartment in Zug
- Tax nexus: Property ownership only
- Property value: CHF 1,000,000 (amtlicher Wert)
- Mortgage: CHF 700,000 (deductible portion limited to Zug property)
- Commune: Zug (multiplier 0.70)
| Taxable Swiss-situs wealth | CHF 300,000 |
|---|---|
| Cantonal base | 0.20% → CHF 600 |
| Municipal factor | × 1.70 |
| Estimated tax | ≈ CHF 1,020 |
Tip: Only debt tied economically to the Zug property is deductible for nonresidents.
See Nonresident Guide.
Case E — Comparison: Cham vs. Zug City
Single taxpayer, CHF 2,000,000 taxable net wealth
| Cham (0.60) | Zug City (0.70) | |
|---|---|---|
| Cantonal base | 0.23% → CHF 4,600 | 0.23% → CHF 4,600 |
| Total (incl. commune) | CHF 7,360 | CHF 7,820 |
| Annual difference | ≈ CHF 460 | |
Note: Even within Zug, commune selection can alter the total burden by 5–10%.
Key Takeaways
- Zug’s overall effective wealth tax rarely exceeds 0.4 % of net wealth for typical households.
- Communal multipliers create small but tangible planning opportunities.
- Debt and valuation optimisation provide larger leverage than intra-canton relocation.
- Always document mortgage and valuation evidence for audit consistency.