Is tax free interest possible in Switzerland?

Both will generate a non taxable capital gain at redemption

I see this argument many times since inflation is a bit higher, I’m not sure what the point is. Fixed income/bonds will be better than cash, have low volatility and helps with wealth preservation.

Yes it should often be part of a diversified portfolio (as it will dampen the volatility of riskier asset classes). Why always bring that up? To induce fomo?

On ictax I cannot find the first bond Btp Tf 0% Dc24 Eur IT0005474330

while the second Btp Tf 0,35% Fb25 Eur IT0005386245 gives this result (that I don’t know very well how to interpret)

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@Cortana @Guillaume_GVA thank you very much for your confirmation

Could you please signal me if there’s any official document (preferably in English) where that is stated?

Thanks a lot

The taxation of bonds is described in the SFTA circular n° 15. Only available in our official languages.

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Here’s your reason:

This new user tried to create multiple posts with links to the same domain

I managed with some US treasury notes that were issued during covid times (~0% rates).

For example the 3-year US91282CCC38 with a coupon of 0.25% issued in May 2021 and maturing May 2024 (around when 2023 taxes are due :wink: )

So if you bought 1 year ago it would converge to par (~5% return) with coupon of just 0.25%. So roughly on 5.25% return you paid marginal tax on just 0.25%.

At fun Geneva 50% marginal that’s 0.125% tax on 5.25% return.

I think this is due to nature of TIPS. Otherwise the rule is that >50% of the total returns of a bond (from time of issuance to redemption) needs to come from discount for IUP rule to apply.

Thanks for sharing. Interest information for Inflation linked bonds.