Summary of Swiss Federal Supreme Court Press Release (9C_156/2025)
Date: March 12, 2026
Case Reference: 9C_156/2025
Subject: Tax deduction for child care costs including holiday camps.
Core Ruling
The Swiss Federal Supreme Court has ruled in favor of a married couple from Geneva, establishing that costs for children’s holiday camps can qualify as deductible third-party child care expenses under Swiss tax law, provided specific conditions are met. The court dismissed the appeal by the Canton of Geneva’s tax administration against the lower cantonal court’s decision.
Key Facts of the Case
- Taxpayers: A married couple with two school-aged children (ages 6 and 4 in 2022), both employed.
- Situation: In Geneva, children have free school on Wednesdays. The parents enrolled their children in private language school “creative courses” on these days. Additionally, during school holidays, they enrolled the older daughter in five one-week “thematic camps” and the younger son in one.
- Claim: They claimed a tax deduction for these costs as third-party child care.
- Initial Outcome: The cantonal tax office and first-instance administrative court denied the full deduction but granted a fixed allowance of CHF 250 per camp visit (matching the rate for municipal day-care centers).
- Appeal: The Canton of Geneva challenged the Cantonal Court’s subsequent decision to grant the full deduction based on the argument that holiday camps do not primarily serve a child care need.
Federal Court’s Legal Reasoning & Criteria
The Federal Court affirmed that the lower court was correct. To qualify for the tax deduction, the following criteria must be met:
- Age and Residence: The child must be under 14 and live in the same household as the taxpayer who is responsible for their maintenance.
- Primary Purpose: The care must be provided by a third party primarily to meet a child care need.
- Causal Link: Costs must be directly linked to the taxpayer’s employment, education, or incapacity to work.
Clarification on “Child Care”:
- The law does not restrict which third parties provide care nor define exactly what constitutes “caring for a child.”
- Institutions dedicated to daily child care (like crèches) are legally required to offer age-appropriate activities; therefore, care includes active engagement, not just passive supervision.
- Tax authorities cannot deny deductions simply because an institution offers recreational activities. Doing so would disadvantage parents unable to find spots in standard day-care facilities and would contradict the law’s goal of promoting work-life balance and female employment.
Crucial Distinction:
While activities are permitted, the primary motive for enrollment must be to cover a care need. The opportunity to engage in leisure activities or acquire skills may only be secondary.
Outcome
The Federal Court confirmed that the taxpayers successfully proved they needed childcare due to their employment status, making the costs for the thematic camps deductible. The complaint filed by the Geneva tax administration was rejected.