Relocation to the Canton of Thurgau | Migration Law, Corporate Law and Tax

Overview

The Canton of Thurgau is located in northeastern Switzerland, bordering Germany and the Lake Constance region. With around 285,000 residents (2023), its capital is Frauenfeld. Thurgau is renowned for its thriving industrial base, vibrant agriculture, and strong cross-border economic ties with Germany.

Economic Strengths & Infrastructure

✔ GDP: A robust economy driven by industrial manufacturing, agri-food production, and export-oriented SMEs.
✔ Key Industries: Machinery, electronics, ICT, food processing, logistics, and renewable energy.
✔ Education & Research: Institutes affiliated with the University of Applied Sciences of Eastern Switzerland (OST), and proximity to research hubs in St. Gallen and Zürich.
✔ Transport & Connectivity: Excellent motorway and rail connections to Zürich, St. Gallen, and southern Germany; proximity to Zürich Airport and Lake Constance ports.

Taxation

Legal entities: Legal entities are subject to a corporate income tax at the tax rate of 13.2% (Frauenfeld) and a capital tax of 0.04% on taxable equity. The capital tax is for the offset against the corporate income tax. Thus, if the corporate income tax liability is higher than the capital tax, no capital tax is due. Dividend income and capital gains from qualifying participations are exempted from corporate tax due to the participation exemption.

Individuals: Individuals are subject to progressive income tax with the top effective tax rates between 27.6% (Bottighofen) and 32.3% (Birwinken). Private capital gains are tax exempt and dividends from qualifying participations are taxed with a discount of 40% at the cantonal and 30% at the federal level. Therefore, depending on the income structure, the effective tax rate may be significant. The canton levies wealth tax on an individual’s net wealth. Lump-sum taxation regime available.

Government Support for Business Location

	✔ Thurgau Economic Development Office Supports businesses and investors with location analysis, site search, administrative procedures, and permits. Learn more
	✔ Thurgau Technology ForumProvides infrastructure, networking, and services for start-ups and innovative SMEs in technology sectors. Learn more
	✔ Regional Business Associations Offer additional support for SMEs, industry clusters, and cross-border enterprises.

Additional Advantages

✔ Transparent and business-friendly legal environment.
✔ Strong infrastructure: reliable transport, energy, and digital networks.
✔ High quality of life: attractive rural and lakeside settings, family-friendly communities, and cultural diversity.

Useful Official Links

The Canton of Thurgau offers an excellent location for businesses looking for proximity to Germany, strong industrial traditions, and attractive living conditions. LINDEMANNLAW advises individuals, families, and entrepreneurs on migration law, corporate law, tax matters, and all legal aspects of relocation to Thurgau.