Clever tax savings: The most important deductions in Switzerland

Tax deductions are specific expenses that you can include in your tax return to reduce your taxable income. The more deductible costs you can prove, the less tax you will have to pay. This is particularly worthwhile if you take a targeted approach and know your deduction options.

The effect of the tax deductions is felt at three levels:

• Federal level (Swiss Confederation): Direct federal tax is calculated uniformly throughout Switzerland.
  
• Cantonal level: Each canton has its own rules and maximum amounts for deductions.
  
• Municipal level: Your tax burden can also vary at municipal level depending on the deduction options.

A good overview of the most important deductions helps to identify and make the most of potential savings. The most common categories are:

• Work-related expenses such as travel costs, meals and work equipment
• Training and further education costs, if job-related
• Insurance premiums and healthcare costs, within certain limits
• Child and family deductions, for example for care or maintenance
• Pension deductions, for example payments into pillar 3a
• Real estate costs such as maintenance or mortgage interest
• Other deductions such as donations or political contributions

In the following chapters, we will show you how these deductions work in detail – with practical tips, examples, and advice on common pitfalls.

If you commute for work, work from home or need special equipment, you can deduct these costs on your tax return. These include:

• Travel costs for commuting to work (e.g. public transport season ticket, mileage allowance)
• Meals away from home if it is not possible to return home at lunchtime
• Work equipment such as laptop, specialist literature or special clothing

Job-related further training is also deductible – whether it's a language course, training course or a specialist book. The most important thing is that the expenses are related to your work.

• Course fees, examinations, specialist literature
• Travel expenses in connection with further training

Premiums for your health, accident or life insurance as well as health costs not covered can be claimed against tax – within certain limits.

• Medical or dental bills paid for by yourself
• Premiums for life insurance (e.g. mixed insurance with savings component)

Parents benefit from various deductions:

• Deduction per child
• External childcare costs (e.g. daycare center, childminder)
• Alimony/support payments

Payments into pillar 3a or voluntary buy-ins into the pension fund directly reduce your taxable income – and therefore your tax bill.

• Pillar 3a (note the annual maximum amount)
• Pension fund purchases for pension gaps
• Costs for asset management, e.g. custody account fees

By paying CHF 7,258 into pillar 3a, employees with a pension fund will noticeably reduce their tax burden in 2026.

Until now, anyone who owns residential property has been able to claim various costs against tax - such as maintenance work, energy-saving investments and mortgage interest. The abolition of the imputed rental value (decided in 2025, expected to take effect from the 2028 tax year) will fundamentally change these options.

The following now applies:

• The imputed rental value is no longer taxed, which automatically reduces taxable income.
• At the same time, however, many deductions previously possible at federal level will cease to apply. They include:
  - Maintenance and renovation costs
  - Energy-saving investments
  - Mortgage interest (only deductible in exceptional cases, e.g. for first-time buyers)

In addition to the classic categories, there are other options:

• Donations to charitable organizations
• Contributions to political parties
• Costs for dual-earner marriages (depending on the canton)

However, with the right overview, well-documented receipts, and targeted measures, you can significantly reduce your tax burden.

• Keep receipts: No deductions without proof
• Adhere to deadlines: Deductions only apply if submitted on time
• Flat rate or actual: Check what is more worthwhile
• Check annually: Life situations change – and so do your deductions
• Use digital tools: Online platforms of the cantonal tax authorities save time and make it easier to record your deductions.

From deductions on your tax return to tax-efficient retirement planning. In our FAQs you will find clear answers to the most frequently asked questions – concisely explained and directly applicable.

Frequently asked questions