Taxes make up a substantial part of the cost of owning a car. In this guide, moneyland.ch explains the obligatory taxes that apply to all private car owners, and the incidental taxes that can apply in specific situations.
All private cars with Swiss license plates are subject to Swiss road taxes. Road taxes are levied on a cantonal level, so which canton your car is licensed in will determine how much taxes you pay.
The way in which road taxes are calculated varies between cantons, with some basing taxes solely on the weight of your vehicle, while others also account for power and CO2 emissions. You can find the details using the map below.
If you use Swiss highways, you have to pay the annual highway tax of 40 francs per calendar year – more specifically, for the 14-month period between December the previous year and January of the following year.
This tax is paid up front by purchasing a sticker. You can buy this sticker at numerous Swiss gas stations and supermarkets, at customs offices on the Swiss border, and from many European automobile clubs. The sticker must be placed on the windshield to show that the tax has been paid for that car.
Tip: Many Swiss merchants offer discounts on highway tax stickers as part of special promotions. For example, supermarkets may offer discounted highway tax stickers to customers who shop for more than a certain value. These discounts can be as high as 50 percent.
You also have the option of getting a digital highway tax certificate. This digital version is available from the federal government’s Via web portal for 40 francs per calendar year, with no additional fees.
A digital certificate is linked to your car’s license plate number. That is beneficial if you use interchangeable license plates, or if you change cars within a calendar but keep your existing license plates. Important: Be wary of other websites that sell digital highway tax certificates for inflated prices.
While income tax is not directly related, owning a car can still have an impact on the income taxes you pay. If you meet certain criteria – namely, that you work for an employer, and your situation makes it difficult or impossible to commute by public transportation – you can claim a tax deduction for commuting by car.
The federal income tax deduction is 75 centimes per kilometer, up to a limit of 3300 francs per year. Many cantons also have tax deductions for commuting by car.
Do I have to pay taxes on gains from reselling my car?
No. If you sell your private car for a profit above what you paid for it, the capital gain does not have to be taxed.
Cars you own count towards your taxable wealth for the wealth taxes levied by Swiss cantons and municipalities. However, it is not your car’s new value that must be declared, but rather, the actual cash value of your car at the end of the tax year in question. Each canton has its own schedule for determining the tax value of a car. Typically, the taxable value of your car is the price you paid, minus between 30 and 40 percent per calendar year, depending on the canton.
Standard value-added tax (VAT) is levied on the price of a car itself, on fuel, on insurance, repairs, servicing, spare parts, and many other purchases related to using a car.
Diesel and unleaded fuel are both subject to a mineral oil tax and a mineral oil surtax. Together, these taxes are currently 79.57 centimes per liter for diesel and 76.82 centimes per liter for unleaded fuel (as per 2026). There is also a carbon offsetting tax that fuel vendors are required to pay, and vendors are allowed to raise the fuel price by up to five centimes per liter towards the cost of this tax. Additionally, you also pay the standard VAT on fuel purchases.
Example: Over the course of a year, you buy 1000 liters of unleaded fuel at an average price of 1.70 francs per liter, or 1700 francs in total. Out of that 1700 francs, around 768 francs would be mineral oil tax, and up to another 50 francs would be the carbon offsetting tax. On top of that, you would also pay just over 75 francs for value-added tax. So you would pay over 893 francs of taxes for your fuel purchases.
When a car is first imported into Switzerland, it is subjected to an automobile tax equal to four percent of the vehicle’s value. This indirect tax adds to the final cost of a car for you as the buyer.
The CO2 tax is another indirect tax that plays a role in determining the price you pay for cars in Switzerland. The CO2 tax is charged to dealers when the average emissions level of the new cars they import exceeds 93.6 grams of CO2 per kilometer.
Car leasing and taxes
The main taxes that apply to owning a car – such as road tax, highway tax, and taxes on fuel – also apply when you lease your car. The indirect taxes that affect the prices of cars also affect the cost of leasing.
But there are also differences: The lease rates you pay cannot be deducted from your taxable income for income tax purposes, and the car does not count as taxable wealth for wealth tax purposes.
You pay VAT on the lease payments. This tax is accounted for in the leasing rates.
Other tax-like fees and charges
Fees for roadworthiness examinations are another mandatory cost. To remain eligible to drive on Swiss public roads, vehicles must be subjected to regular roadworthiness examinations. The first roadworthiness examination is due after the car’s first five years on the road. Three years later, the car must undergo another examination. After that, you must take your car in for a roadworthiness examination every two years. The examination fee varies between cantons, but is typically at least 50 francs.
Some public parking spaces in Switzerland have parking meters and can only be used for a fee. Others – commonly known as blue zone parking spaces – are free to use for one hour at a time with a parking clock on Monday to Saturday from 8:00 AM until 07:00 PM, and without a time restriction at night and on Sundays. Many municipalities offer passes that give you unlimited use of blue zone parking within the vicinity of your home. Prices for these passes vary between municipalities, but are typically several hundred francs per year.
In the past, owning a car with a radio made you eligible to pay the annual radio and television fee. Today, with a few exceptions, all Swiss households are required to pay these fees. The annual fee also covers car radios.
Tolls are only levied on a handful of privately-owned Swiss tunnels and roads. The Munt La Schera tunnel in Grisons is one example. However, it is important to account for foreign tolls when traveling to other countries.
Fines can add a substantial cost
Carefully following road traffic laws not only improves safety, but can also have a major impact on the cost of owning and using a car. Police are allowed to levy road traffic fines of up to a maximum of 10,000 francs.
Fines for speeding range between 20 francs and 260 francs, depending on the type of road and how many kilometers per hour you exceed the speed limit by. Extreme speeding results in charges being pressed against you, which can generate high legal costs, and even possible incarceration and confiscation of your vehicle.
High fines are also possible for incorrect parking and making unnecessary noise – leaving your engine running when it is not necessary, for example.
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