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February 2008 - Posts

  • Swiss Popular Votes: Yes to Corporate Tax Reform II and No to Inititiative Against Fighter-Jet Noise

    YES to tax cuts for small/medium enterprises, NO to noise-related constraints to the air force

    Swiss voters adopted in a Blockbuster referendum vote last Sunday a tax cut package (called the "Corporate Tax Reform II"; the German short form being USTR II) to foster small and medium-sized enterprises (SME). The outcome was extremely tight, with a majority margin of roughly 20'000 votes. The referendum was taken by the left after the federal parliament passed the USTR II last year.

    The second federal issue, a popular initiative put forward by environmentalists to ban air force flights from touristic regions, was rejected harshly. The jungfreisinnige schweiz (Young Liberals of Switzerland, jfs) are satisfied with the outcome.

    Swiss voters finally adopted the "Corporate Tax Reform II" (USTR II) by a 50.5% majority after a hot debate in the debate leading to the popular vote. The turnout was low with 38.2% even for Swiss relations. Polls in January showed a clear majority for the issue; however, corporate scandals and write-downs due to international financial crisis, the German authorities assault on Liechtenstein's tax laws as well as boni/perks and attitudes of prominent managers seem to have contributed to the very tight outcome of the referendum.

    USTR II consists of many technical changes in laws to foster SMEs. One of the goals was to cut the "double taxation of profits and dividends. However, some provisions (among them a particular 10%-threshold) sparked controversies which the left tried to exploit by raising envy against entrepreneurs.

    The ministry of finance announced plans for further tax reforms. A reform proposal was launched in mid-January for the Value Added Tax (VAT) – which has one of the lowest rates in Europe – with features such as a single comprehensive tax rate of 6.1% (currently, the main VAT rate is 7.6%, however, there are special rates) and many administrative simplifications. A second reform issue is the comprehensive approach to be taken by Cantons and the federal government to address the EU-Swiss tax dispute (in which the EU – in our view unjustly – claims some Swiss Cantonal corporate tax provisions as distorting the competition). The general direction here is again to lower all rates in order to counter the critique from Brussels. Switzerland considers the issue as non-negotiable since there are no treaties between the EU and Switzerland on taxes.

    A third idea is currently pushed by the business association economiesuisse to cut profit taxes.

    The USTR II is seen to increase the competitiveness of SMEs and help find succession in many firms. The Young Liberals of Switzerland supported the tax reform and are satisfied with the outcome. We consider it as beneficial for the creation and maintenance of jobs. The adoption of the reform is another milestone in the successful policies of our finance minister Merz. Further, the reforms strengthens entrepreneurial spirit and does away with impediments particularly for young entrepreneurs.

    The second issue was an "initiative against fighterjet noise" of environmentalists to ban air force flights over territory that could be used touristically. Due to its possibly comprehensive meaning, the initiative was widely seen as dangerous for the maintenance of the air force. Voters rejected the proposal with a 68.1% majority as well as all Cantons. The bill would effectively have abolished any training opportunity of the air force at home and thus would have been a step towards abolishing the whole army, which was part of earlier bills by the left and greens.

    The Young Liberals of Switzerland have fought against the initiative and are convinced that the noise problem could be addressed with better methods. After the vote the defense ministers assured that the army will consider changes to training schedules.

    Contact for additional information:

    Adrian Ineichen, International Officer jfs

    0041 76 309 09 65

    Links:

    http://www.swissinfo.ch/eng/politics/internal_affairs/Photo_finish_decides_vote_on_company_tax_cuts.html?siteSect=1511&sid=8776822&cKey=1203878198000&ty=st

    (In English, federal broadcast service)

    http://www.nzz.ch/nachrichten/schweiz/unternehmenssteuerreform_abstimmung_resultate_1.677505.html

    (in German, liberal newspaper NZZ)

    www.jungfreisinnige.ch

  • European Parliament must allow for transparent investigation into MEP frauds

    European Liberal Youth LYMEC has learned with shock and disbelief of the great frauds perpetrated by some Members of European Parliament and uncovered by the work of the auditors. We are proud that an ALDE MEP, Chris Davies, was the first one to speak Read More...
  • Young Liberals call for the recognition of Kosovo's independence

    Sunday's unilateral declaration of independence by the government of Kosovo is the result of a diplomatic stalemate. Progress had been made with the good work led by former Finnish President Martti Ahtisaari and the successful execution of the parliamentary Read More...
  • EuroPool 2008 - enjoy football with liberal friends

    What? - the Setting and the Idea

    In June, the European Football Tournament takes place in Austria and Switzerland. (Euro2008; Saturday, June 7th, to Sunday, June 29th, 2008). We warmly welcome foreign visitors who intend to watch the games in the stadiums or at the public viewing spots in Switzerland.

    The Young Liberals of Switzerland jfs (jungfreisinnige schweiz) consider the Euro2008 as an ideal opportunity to celebrate this happening together with our fellow friends from abroad. Further, it provides a unique platform for political exchange and having fun as well as establishing new friendships.

    As foreign visitors usually need a place to sleep and sometimes a guide who knows the local area well, the international committee of the jfs has established the EuroPool 2008. This is a pool of people who are ready to support our visitors. Our offer covers hosting visitors at private places, guiding in cities and other places of interest, providing valuable information and other services on demand.

    We are looking forward to meet you, whether it is in the football stadium, or for a drink in a stylish pub, or – if you want – on a hiking trek or any other nice occasions. Thus, we can combine politics and fun.


    How? Register and Get in Touch

    General information is provided at:

    http://www.jungfreisinnige.ch/index.php?id=273&L=4

    Please use the following link to register yourself and get in touch with one of the EuroPool people of the jfs:

    http://www.jungfreisinnige.ch/index.php?id=274&L=4

    You are kindly asked to state to inform us about your plans:

    - Purpose (e.g. football, sightseeing, hiking, else)

    - Time (duration, dates)

    - Location (where you intend to go)

    - Need (what we could do for you)


    Questions?

    Please contact our International Officer, Adrian Ineichen, if you have further questions

    Cell Phone: 0041 76 309 09 65

    Email: adrian.i@gmx.ch


    Links

    Tickets, Schedule of Games www.euroteam2008.com

    Cities

    Euro in Bern www.euro08-bern.ch/

    Euro in Genf www.geneve.ch/euro2008/

    Euro in Zürich www.euro.zuerich.com/de.cfm

    Euro in Basel www.euro08.basel.ch

    UEFA www.uefa.com

    UEFA’s site Euro2008 www.uefa.com/competitions/euro/index.html

    Swiss Tourism www.myswitzerland.com

  • EU subsidies to tobacco producers: an absurdity

    The European Commission announced on 4 February a proposal to extend the financing of the "Community Tobacco Fund" until 2010. This Fund is financed through a tax over tobacco production subsidies: 5% of the amount of subsidies is set aside for awareneess-raising Read More...
  • Conservatives Refuse to Stand Up Against the Death Penalty

    OTTAWA –The Conservatives must justify to Canadians their decision to vote against a motion calling on the government to stand up against the death penalty, Liberal MPJudy Sgro said today. Read More...
  • Armenia & Azerbaijan: need for stronger EU action

    European Commissioner Benita Ferrero-Waldner is participating in the Ministerial EU Troika visit to Azerbaijan, Georgia, and Armenia on 4-6 February 2008, together with Dimitrij Rupel, Minister for Foreign Affairs of Slovenia and Ambassador Peter Semneby, Read More...
  • Ontario Young Liberals excited for upcoming AGM

    The Ontario Young Liberals are looking forward to the Ontario youth political event of the year, the 2008 OYL Annual General Meeting. Ontario’s 4th largest city, proud and vibrant Hamilton, will host Young Liberals from all corners of Ontario, from Point Read More...
  • The Serbia dilemma: EU slowly opens its doors

    At this week's meeting of the EU's ministers of Foreign Affairs, it was decided to sign a political agreement with Serbia that smoothes the way to the country's EU membership. LYMEC welcomes this positive signal to the Serbian people, at the same time Read More...