The tax value of a private car: A comparison by canton

A car is considered as an asset and must be indicated in the tax return declaration. Although wealth tax is not so high compared to income tax, correct reporting is not always a triviality. As tax advisors, we often have to answer one important question: What is the real tax value of a private car?

The tax value of a car depends on:

Canton of residence

Vehicle type

Purchase price

Purchase year

The Swiss tax system has its peculiarities in taxation mechanism. The tax value of the car can significantly vary from canton to canton. For example, a car in Basel-Stadt may be taxed at the value of CHF 0. However, in Schwyz, the value of the identical car can reach up to CHF 50,000.

Important: All vehicles that are physically located abroad must also be declared in Swiss tax declaration.

Below is a brief overview of the most important valuation rules by canton.
Click on the individual canton and find out how does the value of a car change over time.

Overview table

¹ CHF 0. Private vehicles that are recognized as personal items of daily use are tax-free in the canton of Basel-Stadt (including motor vehicles for daily use).

² Private vehicles are declared with the market value of the car in the tax return in Schwyz.

³ Private vehicles are declared in Wallis with 80% of the insurance value at the end of the tax period in the tax return.

⁴ From the 5th year onwards, the depreciation accelerates.

⁵ From the 3rd year, the value depends on the condition of the vehicle.
Canton	Tax value in 1st year	Depreciation method	Depreciation rate
Aargau	70 % of acquisition value	Declining-Balance	30%⁴
Appenzell Ausserrhoden	80 % of acquisition value	Straight-Line	20%
Appenzell Innerrhoden	80 % of acquisition value	Straight-Line	20%
Basel-Land	70 % of acquisition value	Declining-Balance	30%⁵
Basel-Stadt	- ¹	-¹	- ¹
Bern	65 % of acquisition value	Declining-Balance	35%
Freiburg	30 % of acquisition value	Declining-Balance	20%
Glarus	70 % of acquisition value	Declining-Balance	30%
Graubünden	60 % of acquisition value	Straight-Line	10%
Luzern	70 % of acquisition value	Declining-Balance	30%
Nidwalden	60 % of acquisition value	Declining-Balance	40%
Obwalden	60 % of acquisition value	Declining-Balance	40%
St. Gallen	80 % of acquisition value	Straight-Line	20%
Schaffhausen	60 % of acquisition value	Straight-Line	20%
Schwyz	- ²	- ²	- ²
Solothurn	50 % of acquisition value	Declining-Balance	50%
Thurgau	80 % of acquisition value	Straight-Line	20%
Uri	60 % of acquisition value	Straight-Line	20%
Wallis	- ³	- ³	- ³
Zug	60 % of acquisition value	Straight-Line	10%
Zürich	60 % of acquisition value	Declining-Balance	40%

For a better overview, we have prepared three detailed case studies for you. Skoda Octavia, VW Golf, and Audi A3 are the most popular vehicles in Switzerland. Assuming that all three cars were purchased in 2016, we calculated their exact tax value in different cantons.