At least eighteen out of Switzerland's 24 cantons are planning to cut rates of taxation in 2006, following the lead of the small central Swiss canton of Obwalden whose electorate voted to reduce both personal and corporate income tax from 1 January. According to a report by the Neue Zürcher Zeitung Cantons Zurich, Valais, Fribourg, Uri and Schaffhausen will all reduce taxes in the New Year, as the competition to attract high net worth individuals hots up. A number of other cantons are also thought to be considering cutting taxes in the near future. Voters in Obwalden recently approved new laws which will substantially cut income tax for individuals and corporations. From 1 January 2006 corporate tax in Obwalden will be cut to 6.6 per cent, making it the lowest rate in Switzerland. For individuals, those earning more than SFr 300,000 ($228,000) will see tax cut to 1 per cent from 2.35 per cent. Property tax will also fall by at least 30 per cent according to the report.