Daniel Vasella, the multi-millionaire former Chairman of the Board of Directors of Swiss pharma giant Novartis, has lost a case in court in Zug during which he claimed he had been living in Monaco and therefore did not need to pay tax in Switzerland.
Following his resignation in 2013, Vasella claimed he had moved to Monaco.
However, the cantonal tax authorities demanded he pay taxes in Zug based on electricity and water consumption and credit card statements. His water consumption in Zug was found to be 32-times higher than in Monaco.
Vasella claimed that his money in the Principality was held in a strongbox, and daily expenditures were made by his staff. He also said that he travelled between Switzerland and Monaco by car, an explanation of the lack of a paper trail for flights.
Without naming an exact figure, the Zug court said the amount of tax Vasella wanted to save was “extremely high”.
Vasella is no stranger to money problems. He felt obliged to return most of his 72 million francs retirement package in 2013.