Encouraging Sustainable Investment through Direct Tax Relief: Swiss and EU State Aid Legal Framework

Prof. Henry Peter & Dr. Giedre Lideikyte Huber
CHF 26.40

Zusammenfassung

Direct tax incentives for individual investors are one of

the policy measures that governments use to generate

funds to develop the sustainable business sector. There

are a number of arguments in favor of these measures.

Existing research in behavioral science shows that the

majority of investors perceive sustainable businesses

as less profitable. It is also known, at least so far, that

companies which follow sustainable commercial practices

find it harder to attract investors. Several governments

have identified this issue and enacted tax incentives

specifically designed to encourage investors to

turn to sustainable businesses. This type of economic

policy approach is, however, still very rare, and the literature

on the topic is sparse. This article seeks to provide

input from a legal standpoint, highlighting the rationale

and feasibility in the light of the fundamental

principles of taxation, as well as of EU state aid rules,

because this is an issue that inevitably arises. In particular,

it analyzes whether encouraging sustainable investments

via direct tax relief for investors is compatible

with the legal framework for EU state aid and Swiss

legislation. Depending on how such tax incentives are

structured, we argue that they can be compatible with

both

Inhalt

Introduction .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 208

2 Background: Sustainable investment policy

and fiscal incentives .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 209

3 Case studies: the UK and the Netherlands .  .  .  .  .  .  .  .  . 210

3.1 Sustainable Investment Tax Relief (UK) .  .  .  .  .  .  .  .  .  . 210

3.2 Green Funds Scheme (NL) .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 211

3.3 The EU state aid regime .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 213

4 Analysis of the Swiss legal framework

for tax subsidies .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 214

4.1 Notions and analysis framework .  .  .  .  .  .  .  .  .  .  .  .  .  . 214

4.2 Art. 94 Cst .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 215

4.3 Art. 27 and 36 Cst . . . . . . . . . . . . . . . . . . . . . 216

4.4 Inexistence of the Swiss state aid rules .  .  .  .  .  .  .  .  .  . 217

4.5 Switzerland and the EU state aid rules . . . . . . . . . . 217

5 Conclusions . . . . . . . . . . . . . . . . . . . . . . . . 218

Bibliography .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 219

Official Documents .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 220

Autor: Prof. Henry Peter

Produkt ist ein Teil von:

2020/3 Forum für Steuerrecht

Lic. iur. Heinz Baumgartner
CHF 106.00