Corporate Tax Reform III was originally meant to eliminate the Swiss corporate tax haven. The notional interest deduction is now thwarting this intention entirely. It is also likely to harm developing countries.
The Apple tax avoidance scandal and the Federal Council's draft Law on Country-by-Country Reporting show that there is no way around publicly accessible corporate reporting by multinational corporations.
Country-by-Country Reporting for enterprises is very high on the OECD's agenda. This makes tax transparency an issue for corporate groups in Switzerland as well. Despite this, developing countries (still) have nothing to rejoice about.
In 2014, the Federal Council proposed a law on the treatment of dictators' stolen assets, or potentate funds. At last a good law was adopted in December 2015 despite resistance from right wing parties and some shortcomings.
Many poor developing countries are suffering under a huge mountain of debt. Consequently, the UN is at long last discussing a regulated debt restructuring procedure. Switzerland is slowing things down.
Multinational corporations should pay taxes in the places where they make their profits. Reality is completely different. And with the Corporate Tax Reform III, Switzerland wants to offer them new possibilities for aggressive tax avoidance.