For Pierre Nicollier, president of PLR Geneva: “Going to a full taxation at the place of domicile makes democratic control to the people on the principle” I pay, I decide “”.
On May 18, the Genevoises and the Genevans will vote on the 187 initiative “I live there, I pay” as well as his counter-project, the PL13498 “Taxation instead of domicile and inter-municipal financial equalization”.
The two objects modify the municipal tax system of Genevans, currently distributed between the municipality of residence and that of work, to introduce 100% taxation to the place of domicile. The counter-project adds a period of 4 years allowing municipalities to deeply review the inter-municipal equalization system, as proposed by the association of Geneva municipalities unanimously.
An yes to the counter-project will allow taxation on the place of domicile, in the commune where the taxpayer exercises his democratic rights. In his commune each citizen indeed influences political decisions and therefore the management of public funds via his electoral choices but also by using his popular rights. For Pierre Nicollier, president of PLR Geneva: “Going to a full taxation at the place of domicile makes democratic control to the people on the principle” I pay, I decide “”.
Geneva is also the only Swiss canton which does not apply a complete taxation at the place of domicile. All the other cantons simply and logically impose the citizens at their place of residence. “This creates ubiquitous situations in our canton like that of a citizen of Plan-les-Ouates working in the city of Geneva and who will mainly pay his taxes in town where he does not have his say” recalled Sébastien Desfayes, deputy for the Geneva Center.
However, the initiative would put many municipalities in difficulty, entering into force on January 1, 2026, while 2026 budget processes are already started, and ignoring inter -municipal equalization.
The counter-project supports this change by giving a period of four years for its implementation. “The transition to taxation at the place of domicile must be accompanied by a reasonable period to allow municipalities to organize themselves and avoid creating an unnecessary crisis,” said Aurélien Barakat, president of PVL Geneva.
The counter-project also incorporates the principle of inter-municipal equalization, as proposed by ACG. This compensation system is essential in a small canton which sees great disparities between the municipalities, both in economic terms and infrastructure. A large political bangs considers that current equalization must be modified, arriving, as mentioned by the administrative adviser of the city of Geneva vice-president of the ACG, “today out of breath”.
Contrary to what the opponents assert, the counter-project therefore does not consist of an impoverishment of the popular municipalities for the wealthiest municipalities but a simplification of the principles of compensation.
The PLR, the Center and the PVL Geneva oppose the initiative and support the yes to the counter-project: for a democratic taxation with a structured and reasoned transition.
