The Swiss Young Socialists (Juso) have proposed a 50% inheritance and gift tax on assets exceeding 50 million francs.

The initiative aims to fund climate action and ecological economic reforms.

However, the Federal Council has rejected the proposal without a counteroffer, citing concerns over its impact on Switzerland's attractiveness for wealthy residents.

Experts warn that the tax could lead to significant capital flight, with estimates suggesting up to 93% of taxable assets might leave the country.

Critics argue the tax could harm family businesses and result in net revenue losses for the government.

Despite its low chances of passing, the proposal has sparked heated debate about wealth distribution and climate funding in Switzerland.