Voters in Geneva rejected the UDC’s proposal to cut vehicle tax by 50% in favor of environmental measures. From 2025, a basic tax of 120 francs will be introduced, based not on the power of vehicles, but on their CO2 emissions and the weight of electric vehicles. This decision, which was supported by more than 56% of voters, is considered by the State Council as ecological progress. This tax reform aims to encourage the use of greener vehicles, although its implementation and economic impact are questionable.

Geneva says no to tax cuts!

The people of Geneva have clearly declared their preference for ecology over the wallet. They rejected the proposal of the UDS (Democratic Union of the Center) the desire to reduce the tax on vehicles by 50%. This resolution, supported by more than 51% of the voters, marks a real turning point in the canton’s tax policy, which is now focused on environmental measures. Supported by the MCG (Mouvement Citoyens Genevois), the initiative provided for a reduction in the tax on all types of vehicles.
The counter-project, for its part, received the support of more than 56% of voters. Thus, from January 1, 2025, a major change will come into effect introduction of the basic tax in the amount of 120 fr. The new tax structure will no longer be based on the current criterion of vehicle power, but will focus on environmental performance. Diesel vehicles will be taxed based on CO2 emissions, while electric vehicles will be taxed based on their weight.

Tax cuts: the victory of the Counterproject

Supporters of the counter-project rejoice at this victory. The State Council, which strongly supports the counter-project, describes the victory as “great” for the canton’s environmental ambitions. The member of the Council of State responsible for the Department of Mobility confirms that this victory positions Geneva at the forefront, and expresses the hope of reducing tax revenues within five years thanks to the adoption of greener vehicles. It is important to emphasize the complexity of issues related to the transition to environmental taxation. Some experts say this approach could encourage the adoption of greener vehicleswhile others express concern about its impact on certain sectors of the economy.
In addition, the introduction of a basic tax of 120 francs from 2025 raises questions about its consequences for taxpayers. Some citizens are interested in whether this tax will affect their annual budget, while others see a necessary measure to finance environmental initiatives. UDC Member of Parliament Michael Andersen expresses his disappointment at the rejection of the initiative, stressing the need to find balanced solutions to promote environmental sustainability while protecting the interests of vehicle owners.

This ongoing debate on environmental taxation highlights the complexity of policy decisions aimed at reconciling the sometimes divergent goals of society.

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