Municipality unexpectedly achieves surplus of CHF 29.7 million

Last year the municipality of Baar achieved a surplus of just under CHF 20 million, with many people feeling this would not be equalled this year. However, it has been revealed its surplus is indeed up, and by almost CHF 10 million to CHF 29.7 million.

Actual income for the year 2018 amounted to CHF 161.6 million, with outgoings of CHF 131.9 million, hence this CHF 29.7 million surplus.

The news even came as a surprise to Pirmin Andermatt of the CVP party who is responsible for finance in the municipality. The surplus resulted from unexpectedly higher income from taxes, namely CHF 10.8 million from individuals, CHF 14.0 million from companies, which fared better than in the previous year, and CHF 2.1 million from other sources.

In fact Andermatt mentioned how income from corporation tax had almost doubled over three years, from CHF 27.4 million in 2016 to CHF 47.2 million in 2018. Some of the income from 2018 emanated from tax on property sales and inheritance tax, sources and amounts which are not foreseeable.

As to outgoings, the CHF 131.9 million earmarked for these was virtually adhered to, with all the municipality’s departments keeping strictly to budget. Andermatt also mentioned the lean administration costs at the town hall but felt the time had now come for more staffing.

The finance director mentioned how part of the renovation of the Sternmatt school had been able to be completed, though the construction of a new building for the Wiesental, planned for the next few years, would cost much more. Hence the additional income the municipality has benefited from this year is already earmarked.

In conclusion, Andermatt felt the municipality was well placed for the future financially, and was optimistic for 2019, too. “What is important is that the future generation should profit from the fat years, too,” he said.

The latest news on this is that locals there are now calling for a reduction in taxes.

This article is an edited version of one written by Rahel Hug.