The government plans to address the issue of cold progression in tax rates, which has become a concern due to inflation. Taxpayers face higher tax burdens as their salaries increase, even though their purchasing power remains the same.

To mitigate this, adjustments to cantonal and municipal tax rates and deductions will be made annually based on the national consumer price index (CPI). Inflation is projected to be 1.31% for the period between June 30, 2023, and June 30, 2024. As a result, revisions to the cantonal ordinance on cold progression for the 2025 tax year are necessary.

These adjustments are expected to lead to a significant reduction in annual revenue, estimated at CHF 220,000 for the canton, CHF 230,000 for municipalities, and CHF 15,000 for parishes. The adjustments will ensure that taxpayers are not burdened by inflation, as only inflation will be considered in the revenue calculations after the adjustments are made.