Selling property in the Canton of St. Gallen
Selling in the Canton of St. Gallen: living there yourself saves tax.
After more than 15 years of ownership, property gains tax falls every year – faster if you lived in the house yourself. On top comes a 1 % transfer tax, owed by the buyer.
As of September 2026 · Tax law of the Canton of St. Gallen (sGS 811.1), version of 1 January 2026 · cantonal tax rate 2026: 105 % (tax manual StB 6 No. 1).
What most people overlook: in the example below, the years you lived there yourself are worth about CHF 18,500.
Tax when you sell
How much tax do I pay when I sell my house in the Canton of St. Gallen?
In the Canton of St. Gallen, property gains tax depends on three numbers: profit, years owned and years lived in the house. Profit means sale price minus investment costs (Anlagekosten). They cover what you paid, plus improvements such as an extension. The municipality makes no difference: the tax is the same in all 75.
An example from the official St. Gallen tax calculator, accessed 29 September 2026: bought 1980, sold 2026, profit CHF 300,000. Without a reduction, the tax would be CHF 90,285. Years of ownership alone cut it to CHF 72,228. Living there yourself for 15 years or more cuts it to CHF 53,719, about 18,500 less (Tax Act, Articles 140–141).
What this means for you: check that every tax estimate counts the years you lived there. Documented improvements lower the tax too: keep the purchase contract and invoices out of the recycling. The maximum reduction only comes after 42 full years of ownership. So it can pay to wait.
Only the calculation for your own house shows whether waiting pays off and what you keep after tax and mortgage.
Buying again
Can I sell my house in the Canton of St. Gallen tax-free?
In the Canton of St. Gallen, selling is rarely tax-free, but your next home can defer property gains tax, fully or partly. The official term is replacement purchase (Ersatzbeschaffung). You must live in both homes yourself, permanently and exclusively. Only a home in Switzerland counts, bought or built from a year before to three years after the sale (Tax Ordinance, Article 66).
The deferral covers only what the new home costs above what the old one cost you. The tax manual (Steuerbuch) on replacement purchase calculates: sale CHF 870,000, investment costs 580,000, new home 700,000. Of CHF 290,000 profit, 120,000 is deferred, 170,000 taxed (version of 1 May 2025). Deferred does not mean waived.
What this means for you: you or your parents can find the new home first. But do the maths before you buy. The home check: keep, adapt or something new shows whether a move suits you. If you wish, our four-phase sale ends in your next home.
What is different here
What you should know about selling in the Canton of St. Gallen.
Short ownership costs, long occupancy saves
The canton calculates a simple tax on a progressive scale. In 2026 it levies 325 % of it in total: a cantonal rate of 105 % plus a fixed surcharge of 220 %. The first CHF 2,200 of gain is exempt. Within five years of ownership the tax rises by up to 5 %. After more than 15 years it falls by 1.5 % a year up to 40.5 % (on the gain up to CHF 500,000) if you lived in the property yourself for at least 15 years – otherwise by 1 % up to 20 %.
1 % – paid by the buyer
The transfer tax is 1 % of the purchase price and is owed by the buyer; the seller is jointly liable. Between parents and children half the rate applies (Art. 242 and 245 tax law SG).
The municipal land registry
In the Canton of St. Gallen, the purchase contract for a property is notarised by the land registry of the municipality where the property is located.
Electoral districts
Eight districts – from Lake Constance to Lake Walen.
From Rapperswil-Jona on upper Lake Zurich to St. Gallen, Wil and the Rhine valley. We are happy to talk about your property in person.
Getting there
From the office at Bahnhofplatz Zurich
By train from Zurich HB, fastest connection on a weekday (SBB timetable).
- Zurich HB → Rapperswil 41 min · direct
- Zurich HB → Wil 47 min · direct
- Zurich HB → St. Gallen 58 min · direct
- Zurich HB → Buchs SG 66 min · 1 change
Questions from the Canton of St. Gallen
What owners here want to know.
How high is property gains tax in the Canton of St. Gallen?
The canton calculates a simple tax on a progressive scale (Art. 140 tax law SG). In 2026 it levies 325 % of it in total: a cantonal rate of 105 % plus a fixed surcharge of 220 % (Art. 6 and 7 tax law SG, tax manual StB 6 No. 1). The first CHF 2,200 of gain is tax-free. If the gain exceeds CHF 600,000, the simple tax is 10 % of the entire gain – 32.5 % in total.
Does the tax fall after long ownership?
Yes, after more than 15 years of ownership with each further full year: by 1.5 % up to 40.5 % on the gain up to CHF 500,000 if you lived in the property yourself for at least 15 years, otherwise by 1 % up to 20 %. Within five years of ownership the tax rises by up to 5 % (Art. 141 tax law SG).
Who pays the property transfer tax?
The buyer. It is 1 % of the purchase price; between parents and children half the rate applies. The seller is jointly liable for payment (Art. 242 and 245 tax law SG).
Can I defer the tax if I buy a new home?
Yes, if you sell the home you permanently and exclusively live in and use the proceeds within three years for a replacement home of the same use in Switzerland; a purchase up to one year before the sale also counts (Art. 132 tax law SG, Art. 66 tax ordinance).
Who notarises the purchase contract?
The land registry of the municipality where the property is located.
Inherited a house in the Canton of St. Gallen: do my parents' years of ownership count when I sell?
Yes. When you inherit, property gains tax is only deferred until you sell (St. Gallen Tax Act, Article 132, as of 1 January 2026). The years of ownership then count from your parents' purchase, not from the inheritance (Article 141). The canton's tax manual gives an example: bought 1965, inherited 1995, sold 2020 counts as 55 full years of ownership. So your parents' long ownership lowers your tax too.
Your estate agency is in Zurich. Do you also handle sales in the Canton of St. Gallen?
Yes. From the first conversation to signing the purchase contract, your only contact is Dominik Devaja, managing director of Immosmile. He views your house or works from your documents, and derives the price from comparable properties in your region and an independent model valuation. He calculates property gains tax under the St. Gallen Tax Act, including the years you lived in the house yourself. Sold: two-family house on a building lease (Baurecht), Appenzell Innerrhoden (2026). It was a complicated case (building lease, a parish right of first refusal), completed cleanly at the second attempt after the first buyer fell through.
Sources
- Tax law of the Canton of St. Gallen (sGS 811.1)
- St. Gallen tax manual StB 6 No. 1: cantonal tax rate by year (German)
- St. Gallen tax manual StB 140 No. 1: calculating property gains tax (German)
- Property gains tax – Cantonal tax office St. Gallen
- St. Gallen tax manual: replacement of an owner-occupied home
- Municipalities of the Canton of St. Gallen
General information, not tax advice. You receive the exact calculation for your property in the free valuation.
Your contact for the Canton of St. Gallen
Want to know what you keep in St. Gallen after tax? Call me.
From Bahnhofplatz Zurich I am in Rapperswil in 41 minutes and in St. Gallen in 58 minutes. You get an honest assessment – even if it says «wait».
