Holding company
The taxation for the Holding company is highly favoured by the federation and the Kantons. A share deduction on the dividend profit is granted for companies which are involved in other companies with at least 20 % or 2 Mio. Capital stock.
It concerns to a reduction of the owed tax in relation to the net dividend profit to the proceeds. The share deduction is granted on federation and Kanton level. Therefore the result is that federal tax is mostly not required for a Holding company.
The Kantons exempt Holding companies from all income taxes (Holding privilege). The Holding company is accordingly not dependent on a share deduction.
Finally each dividend and each profit from a sale and even interests proceeds are tax-free. A Holding exists, if 2/3 of the assets are participations or 2/3 of the proceeds are share proceeds.