Robotisation does not endanger tax revenues
Silvia Hunziker
Robotisation does not jeopardise tax revenues and should not be taxed specifically for the time being. This is the conclusion of the report on a prospective study, which the Federal Council approved at its meeting on 7 December 2018.
The report "A Prospective Study on the Impact of Robotisation in the Economy on the Tax System and on the Financing of Social Security" concludes that the increasing digitisation of the economy is not currently having a negative impact on the employment situation and wages in Switzerland. Therefore, the risk that tax revenues could collapse due to robotization is limited. On the other hand, if there is a slight shift in tax revenues in favour of capital income at the expense of wage income, social insurance revenues could be lower in future.
The report is in fulfilment of postulate 17.3045 of National Councillor Jean-Christophe Schwab. He discusses three possible solutions for financing social security if there is a loss of revenue due to robotization: a robot tax, a broader basis for social security contributions and an increase in VAT contributions.
The report recommends first increasing social security contributions through existing taxes before new taxes are levied. New taxes can slow down productivity growth by reducing investment in the most productive technologies.
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