On 12 February 2017, Swiss voters voted on the Corporate Tax Reform III (USR III). The reform was not adopted.

The Federal Act on Tax Measures to Strengthen the Competitiveness of Switzerland as a Business Location (Corporate Tax Reform Act III) was not adopted in the referendum of 12 February 2017.

The Swiss electorate clearly rejects Corporate Tax Reform III with 59.1 % of votes against (NZZ of 12 February 2017).

The preliminary official final results are available on the website of the Federal Statistical Office. The final results will only be published after approval by the Federal Council (probably in about 2 months) and may differ slightly from the provisional results.

Due to the rejection of USR III, the current legal regulations remain in force for the time being. The abolition of the existing cantonal tax privileges (holding, management and mixed companies) launched with USR III has long been demanded by the European Union. In a joint statement on the settlement of the dispute on company taxation (Joint Statement of 14 October 2014 between Switzerland and the EU Member States), Switzerland agreed to abandon the existing tax privileges at cantonal level, the practice of international profit differentiation for principal companies and the practice of taxing Swiss financial permanent establishments. According to newspaper reports (NZZ of 12 February 2017), the European Commission does not intend to comment on the voting result of 12 February 2017 until Monday. The reaction of the OECD is also still pending.

At its media conference on 12 February 2017, the Federal Council announced that it would prepare a new draft (dispatch to parliament) which, due to the complexity of the subject matter, the involvement of the cantons, cities and municipalities and a new consultation procedure, should be available in a year at the earliest.

In a press release dated 12 February 2017, the Conference of Cantonal Finance Directors (FDK) calls for a rapid solution and expects that work on the new edition will now be taken up and advanced by the federal government swiftly and in close cooperation with the FDK.