Inheritance in Switzerland: Guide for heirs and descendants

Inheritance in Switzerland raises many questions: who inherits how much, which compulsory portions have applied since the 2023 inheritance law reform, how the estate is taxed and which steps arise in the event of inheritance? This guide explains intestate succession, estate planning with a will and inheritance contract, and the tax aspects in a clear and up-to-date way.

Inheritance in Switzerland is governed by the Swiss Civil Code (ZGB). Through the parentel system, it determines who inherits and to what extent, as long as no will or inheritance contract provides otherwise. Close relatives are entitled to protected compulsory portions. Since the inheritance law reform of 1 January 2023, the freely disposable quota is larger, because the compulsory portion of descendants was reduced and that of the parents abolished.

As a testator, this guide will give you an overview of how you can ensure your own wishes. If you have inherited in Switzerland, you are also already prepared for the first steps.

The most important facts in brief

• Under Swiss inheritance law, the right to inheritance is based on the degree of relationship (parentel system, Swiss Civil Code).
• Since the inheritance law reform of 1 January 2023, the compulsory portion of descendants amounts to one half of their statutory inheritance entitlement (previously three quarters), and the compulsory portion of parents has been abolished (Art. 471 of the Swiss Civil Code).
• Testators can make provisions that deviate from the statutory rules within the freely disposable quota in a will or inheritance contract.
• The surviving spouse and registered partner are exempt from inheritance tax in all cantons; direct descendants in most cantons as well (source: Federal Tax Administration, as of 1 January 2025).
• Timely planning of the estate benefits testators and heirs. Competent asset management helps to maintain and increase the inherited assets.

Parentel system: Swiss inheritance law regulates who inherits and how much

In Switzerland, inheritance law is determined by the parentel system. If the deceased has not written an official will or inheritance contract, the degree of relationship determines who inherits and how much. With a will or inheritance contract , you can therefore document your will during your lifetime and avoid disputes among heirs.

• Will : You draw up your will yourself and can also amend or revoke it at any time. You are free to formulate your instructions and regulations as long as you comply with the legal limits and, in particular, take into account the compulsory portions. Despite the will, the statutory inheritance law continues to apply due to the compulsory portions.
• Inheritance contract : You and one or more of your heirs can jointly conclude an inheritance contract , which allows you to make decisions outside the legal framework and thus to make individual arrangements. These can only be changed or reversed if all parties agree.

Legal succession according to the parentel system

The parentel system determines who is entitled to receive an inheritance and the order in which they receive it. This system is ordered by degree of kinship. If there are no heirs in a particular parentel, the next closest parentel comes into question. Relatives from the third parentel are the last to be entitled to inherit.

• First parentel : This includes direct descendants such as children, grandchildren or great-grandchildren. Children inherit in equal shares. In the case of deceased children, their descendants are entitled to inherit instead.
• Second parentel : These are in particular parents. If they are deceased, their descendants inherit, i.e. siblings and, if applicable, nieces and nephews.
• Third parentel : This is the trunk of the grandparents. Often the grandparents are already deceased and uncles, aunts and possibly cousins take their place. This is provided that there are no heirs within the first two parenteles.

Inheritance entitlement of the spouse

Spouses are always entitled to inheritance by law. The amount of the inheritance claim depends on the other possible legal heirs. In addition, the amount is also influenced by the property law chosen by the spouses.

The surviving spouse is entitled to:

• If there are heirs of the first parentel: 50 percent of the inheritance
• If there are only heirs of the second parentel: 75 percent of the inheritance.

Determination of the estate

Before the inheritance is divided, the assets are divided according to matrimonial property law. If the spouses have not made any agreements in a marriage contract, the so-called ordinary matrimonial property regime applies. This means that the statutory regulations apply. A distinction is made between four different asset classes:

• The assets brought into the marriage by the wife and gifts (own property).
• The assets brought into the marriage by the husband (personal property)
• Assets acquired by the wife during the matrimonial property regime (acquired property)
• Assets acquired by the husband during the matrimonial property regime (acquisitions).

After this division, the surviving spouse is entitled to the following shares:

• His/her own personal property
• 50 percent of his or her acquisitions
• 50 percent of the inheritance of his deceased spouse

The estate includes the remaining assets.

Spouses have the option of making agreements in a marriage contract that deviate from the legal requirements. For example, community of property or separation of property can be agreed. It can also be agreed in the prenuptial agreement that, for example, the surviving spouse is entitled to all the assets of both spouses in the event of the death of one spouse. However, the undercutting of compulsory shares is only possible in very few exceptional cases. One reason would be a serious crime committed by the heir against the testator.

Inheritance law reform since 1 January 2023: lower compulsory portions, more freedom

Swiss inheritance law was fundamentally modernised. The inheritance law reform came into force on 1 January 2023 and gives testators considerably more scope to distribute their estate according to their own wishes. Anyone who dies after this date falls under the new law, regardless of when an existing will was drawn up. Existing dispositions should therefore be reviewed against the new legal situation.

The most important changes at a glance:

• Compulsory portion of descendants reduced: The compulsory portion of children and other descendants is now one half of their statutory inheritance entitlement. Until the end of 2022 it was three quarters (Art. 471 of the Swiss Civil Code).
• Compulsory portion of parents abolished: Parents no longer have a compulsory portion. Previously, they were entitled to one half of their statutory inheritance entitlement as a compulsory portion.
• Compulsory portion of the spouse: For the surviving spouse and the registered partner, the compulsory portion remains unchanged at one half of the statutory inheritance entitlement (Art. 471 of the Swiss Civil Code). Alongside children, this corresponds to one quarter of the estate, because in this constellation the spouse’s statutory entitlement amounts to one half of the estate.
• Larger freely disposable quota: Owing to the lower compulsory portions, the freely disposable quota has grown. Testators can now freely dispose of at least one half of their estate, and more depending on the constellation of heirs. Under the old law it was sometimes only one quarter.
• Protection of the compulsory portion during divorce proceedings: If divorce proceedings are pending at the time of death, the surviving spouse loses the compulsory portion entitlement under certain conditions (Art. 472 of the Swiss Civil Code). Without a will or inheritance contract, however, intestate succession continues to apply during the proceedings, so the spouse still inherits despite the pending divorce.

This information is provided for general guidance and does not replace a legal assessment of the individual case. When drafting a disposition, it is advisable to consult a specialist in Swiss inheritance law.

Inheritance quota - compulsory portions - freely available quotas

When someone dies, the distribution of his or her estate is determined by the surviving relatives. In addition to the spouse, the children are also entitled to a certain compulsory share of the estate. The difference between the legally prescribed inheritance shares and the compulsory shares is the freely available quota , which can be assigned to beneficiaries by means of a will.

The table below provides an overview of the amount of the freely available quota in different family situations under the law applicable since 1 January 2023.

Heirs left behind…	Statutory inheritance quota	Compulsory part from the estate	Available quota
Descendants (first parentel)	100 percent	50 percent	50 percent
Spouse	100 percent	50 percent	50 percent
Spouse and children	Spouse 50 percent, children 50 percent	Spouse 25 percent, children 25 percent	50 percent
Spouse and parents	Spouse 75 percent, parents 25 percent	Spouse 37.5 percent, parents 0 percent	62.5 percent
One parent and siblings	Parent 50 percent, siblings 50 percent	Parent 0 percent, siblings 0 percent	100 percent

Inheritance tax: The cantons always inherit in Switzerland as well

In Switzerland, the cantons are responsible for determining the inheritance tax. The canton in which the deceased had his or her last residence is responsible. The cantons also decide on tax exemption rules, such as allowances. Inheritance tax is generally payable by the heirs.

Estate tax and inheritance tax on shares

Inheritance taxation has two forms: the estate tax and the inheritance tax on shares. The estate tax taxes all the assets of the deceased without regard to the individual heirs. The inheritance tax on shares taxes each heir’s share of the estate according to his or her relationship (degree of kinship) to the deceased. In Switzerland, only Solothurn and Graubünden still levy a form of estate tax. The municipalities there can additionally demand an inheritance tax on shares.

Inheritance tax rates and exemption amounts of the cantons

The different tax laws in Switzerland make the assessment of inheritance tax complex. In general, the tax rate is progressive and certain allowances are taken into account depending on the degree of kinship. Thus, close relatives are entitled to higher allowances than distant ones.

• For spouses and registered partners, no inheritance taxes are due in any canton. The same applies for the most part to direct descendants. Only in Appenzell Innerrhoden, Lucerne, Neuchâtel, Solothurn and Vaud do children have to expect a low inheritance tax (source: Federal Tax Administration, as of 1 January 2025).
• The cantons of Schwyz and Obwalden levy no inheritance or gift tax at all, regardless of the degree of kinship.
• For parents , the range in the cantons goes from full tax exemption up to a double-digit tax rate. Tax-free allowances are also common.
• Siblings and more distant relatives can expect higher inheritance taxes depending on the canton, with allowances in some cases.
• Tax rates for unrelated heirs are generally the highest and vary considerably from canton to canton. The law of the canton in which the deceased last resided is always decisive.

Tax on inheritances abroad

In principle, there is a risk that the inheritance will be taxed by several countries. This may be the case, for example, if the deceased person or an heir resided abroad or if an inherited property is located abroad. In these cases, it must be clarified which law applies to the inheritance. In order to avoid heirs having to pay taxes more than once, Switzerland has concluded double taxation agreements with some states in which this is avoided.

Reading tip : Next Generation Wealth: Preparing and supporting wealth inheritance

Inheritance in Switzerland: the essential steps after death

After the death of a person, the relatives have to deal not only with the mourning but also with the inheritance matters. Those who know the most important points will save themselves some excitement. The following are therefore the essential steps.

• Submitting a will: As soon as you find a will, you must submit it to the authorities. The assessment of authenticity or correct compliance with formal requirements must also be left to the competent official body - this is what the law requires. In this respect, it is safest for the testator to file his or her will immediately with the appropriate office. Depending on the canton, this is the municipal administration, the district court, the inheritance office or the official notary’s office.
• Opening of the will: As a rule, the will is opened by the authorities within one month. This means that the will is read to all heirs present. For the opening, the office invites all legal heirs as well as those appointed in the will. From the day of the opening, many deadlines must be observed, such as the one-month deadline for filing an objection.
• Apply for a certificate of inheritance : This is the legitimation for the heirs. Only with this certificate of inheritance will you, as the heir, have access to the assets. It is applied for at the same authority that opens the will.
• Rejecting an inheritance if necessary : An inheritance does not necessarily have to be accepted. Sometimes heirs decide against accepting the inheritance for personal reasons. Concerns about having to assume responsibility for the decedent’s liabilities if the decedent was overindebted can also be a reason for disclaiming the inheritance. In such cases, the heir submits a written declaration of disclaimer to the court.
• Securing the inheritance : The competent authority is obliged ex officio to take any necessary measures to secure the inheritance. In some cases, this may mean sealing the inheritance, taking inventory or ordering an administration of the inheritance. Sealing means blocking assets and is provided for in cantonal law for certain cases. In particular, if there is no agreement in the determination of the assets, the authority will take appropriate measures.
• The community of heirs : If there are several heirs, they jointly form a community of heirs. Each individual heir has the right to divide the estate. Until the division of the estate, all heirs are joint owners. The co-heirs can exclude the division for a certain period of time. The testator can also exclude the division for a certain period of time in a decree. Likewise, the court has the possibility to postpone a division if this would be extremely unfavorable for the asset at the present time.
• Agreement among heirs or action for partition : There is not always agreement among heirs, particularly with regard to the valuation of the assets. In principle, the valuation has to be made according to the market value, not only in the case of real estate. However, this is a complex procedure, for example in the case of companies. If no agreement can be reached, an action for partition is brought. In this case, the court takes over the objective division. In the end, the community of heirs is dissolved.

Inherited assets: What heirs should pay attention to now

The more extensive the estate, the more diversified it usually is. In addition to financial assets, the decedent may have owned a house, an apartment or even his own company.

Pay particular attention to the following points in relation to the estate:

• Determine assets and debts : In principle, every heir has the legally guaranteed right to receive information about all of the decedent’s assets and debts. If the deceased has appointed an executor in his or her will, the executor is obliged to provide all heirs with comprehensive information regarding the deceased’s assets. Even in the case of unclear property circumstances, heirs may request the preparation of a public inventory within a period of one month after the date of the deceased’s death. As already explained in the section on community of heirs, assets such as securities or real estate do not have to be liquidated immediately if this would currently only be possible with considerable losses.
• Clarify pension fund assets : The beneficiaries are entitled to the claims from the pension fund assets after the death of the insured person. In most cases, there are spouses or orphans entitled to a pension and a survivor’s pension is paid. In all other cases, the pension fund regulations determine what happens to the pension fund assets. The regulations vary among pension funds. It is therefore possible for a saved capital to be forfeited and for it to benefit the community of insured persons.
• Observe deadlines for declaration of disclaimer : Do you want to disclaim your inheritance due to overindebtedness of the testator or for other reasons? If so, you must submit a written declaration of disclaimer to the competent authority within three months of becoming aware of the death.
• Financial planning for the inheritance : Unless heirs have the appropriate financial expertise themselves, they should take care of sound asset management in good time. Digital offerings today enable competent and at the same time cost-effective support even for manageable assets.

With appropriate preparation, testators avoid disputes in the event of inheritance

A carefully planned estate can help avoid conflicts and ensure that the testator’s last will is fulfilled.

Advance inheritance is one way in which parents, for example, can reduce their taxable assets during their lifetime and children can already take advantage of their inheritance. In addition, inheritance taxes can be saved if necessary. However, heirs with an advance withdrawal must have the advance withdrawal offset against their inheritance. Although children, for example, may thus be treated unequally, the compulsory portion may still not be undercut.

In order to document one’s own will, a will is a central matter. Important: Spouses each need their own will. Although a will cannot completely avoid legal difficulties, it simplifies matters. To ensure that your will is taken into account in the event of incapacity, you should also consider a living will and an advance directive.

One way of donating your assets to a social or charitable purpose is to set up a foundation. This can help ensure that heirs can use the assets in a dignified manner after the deceased’s death.

Family businesses sometimes suffer from the fact that succession is not precisely regulated. Anyone wishing to preserve their life’s work should therefore plan in good time during their lifetime.

In this context, the legal structure of the company plays a major role, as it can affect inheritance tax and tax treatment. It is therefore highly recommended to consult with an experienced expert in order to consider the legal and tax consequences.

Separated spouses should know that even in the event of separation, intestate succession applies. If this is not desired, it can only be excluded by **divorce **or in part by a prenuptial agreement.

Frequently asked questions about inheritance in Switzerland

How large is the children’s compulsory portion in Switzerland? Since the inheritance law reform of 1 January 2023, the compulsory portion of descendants amounts to one half of their statutory inheritance entitlement (Art. 471 of the Swiss Civil Code). Previously it was three quarters. Where children are present alongside the spouse, the children’s compulsory portion together corresponds to one quarter of the estate.

What changed with the 2023 inheritance law reform? The compulsory portion of descendants was reduced from three quarters to one half of the statutory inheritance entitlement, and the compulsory portion of parents was abolished entirely. As a result, the freely disposable quota has grown. Testators can now freely dispose of at least half of their estate, and more depending on the constellation of heirs.

Do spouses and children pay inheritance tax in Switzerland? The surviving spouse or registered partner is exempt from inheritance tax in all cantons. Direct descendants are also tax-exempt in most cantons. Exceptions where children pay tax exist in Appenzell Innerrhoden, Lucerne, Neuchâtel, Solothurn and Vaud. The cantons of Schwyz and Obwalden levy no inheritance tax at all.

Who inherits if there is no will? Without a will or inheritance contract, intestate succession applies under the parentel system. Descendants inherit first, then the parents and their descendants, and finally the line of the grandparents. The surviving spouse or registered partner always inherits as well, and the size of their share depends on which other relatives are present.

How can I disclaim an inheritance in Switzerland? Anyone who does not wish to accept the inheritance, for example because the deceased was over-indebted, submits a written declaration of disclaimer to the competent authority within three months of becoming aware of the death. With the disclaimer, both the assets and the debts of the estate cease to apply for that heir.

Conclusion: Ensure one’s own will for the estate with planning during one’s lifetime.

Death and inheritance are unpopular topics during one’s lifetime, and people like to avoid them. However, problems arise at the latest in the case of inheritance, when disputes arise among the heirs. Frequently, however, unresolved inheritance issues already lead to disputes and disadvantages during one’s lifetime. This can be the case, for example, in the case of anunresolved company succession , as a result of which the development of the company and thus the preservation of the assets can ultimately suffer.

A correctly and unambiguously drafted will , a living will and an advance directive are the appropriate means of planning the estate at an early stage and documenting one’s own will. The clarity of the regulations and clarification with the family ensures the testator’s will and minimizes the potential for conflict. Particularly in the case of larger estates, a lawyer with expertise in Swiss inheritance law should therefore be consulted. In addition to legal clarification, heirs should think about appropriatefinancial planning for the estate at an early stage. Today, the financial market offers competent asset management services for almost all sizes.