Eigenmietwert
A notional income (imputed rental value) that homeowners must pay tax on because they live rent-free in their own home. In return, mortgage interest and maintenance costs are deductible. A perennial topic in Swiss tax policy.
The Eigenmietwert (imputed rental value) is a notional income that owner-occupiers must declare and pay tax on, because living rent-free in your own property is treated as a taxable benefit. In return, mortgage interest and value-preserving maintenance costs are deductible. It is set by the canton, typically as a percentage of market rent or property value, and has long been one of the most debated topics in Swiss tax policy.
Example: A couple owns the home they live in, with a market rent of about CHF 30'000 a year. The canton adds an imputed rental value of, say, CHF 21'000 to their taxable income, against which they offset their mortgage interest and deductible maintenance costs.
About the glossary
Why do I pay tax on imputed rental value in Switzerland?
Because living in your own home rent-free is treated as income in kind. The imputed rental value is added to your taxable income, while mortgage interest and maintenance costs can be deducted in return.
Is the imputed rental value being abolished?
There are ongoing political efforts to abolish or reform it, but as of now it remains in force. Any change would also affect the related deductions for mortgage interest and maintenance, so the outcome is still open.