880 people search each month for "imputed rental value Switzerland". The imputed rental value is a Swiss peculiarity: as a homeowner, you must pay tax on a notional income — the rent you would theoretically pay for your own home. Sounds absurd? Yet it is the law in force.
What is the imputed rental value?
The imputed rental value is a notional income that homeowners must declare for tax. It corresponds to the rent a third party would pay for the same property — typically 60-70% of the market rental value. It is taxed as income (federal and cantonal tax).
How is it calculated?
The calculation varies from canton to canton. In principle:
Imputed rental value = market rent x correction factor (60-70%)
Example, villa in Zurich: market rent CHF 6'000/month
Imputed rental value: CHF 6'000 x 0.65 = CHF 3'900/month = CHF 46'800/year
At a marginal tax rate of 35%: CHF 16'380 additional tax/year
What can you deduct?
- Mortgage interest: Fully deductible (the biggest lever)
- Maintenance costs: Repairs, renovations (value-preserving)
- Insurance premiums: Building and natural-hazard insurance
- Administration costs: Condominium (Stockwerkeigentum) management
- Standard deduction: Alternatively 10-20% of the imputed rental value (cantonal)
Abolition of the imputed rental value?
Abolition has been under discussion for years. In 2024 the Council of States passed a bill that would remove the taxation of primary residences — in return, the deduction of mortgage interest and maintenance costs would also be abolished. The National Council still has to approve it. Time frame: 2027-2028 at the earliest.
What does this mean for you? In the short term, nothing changes. Plan renovations, where possible, BEFORE any potential abolition — afterwards, maintenance costs would no longer be deductible.
Questions about the imputed rental value and property ownership?
We are happy to advise you on the tax aspects of your property.
Free consultationGeneral information, not tax advice. As of April 2026.