On September 18, 2026, the Federal Council enacted the Federal Act on the Extension of Loss Carryforward, which took effect on January 1, 2028.
The new 10-year period adopted by Parliament applies to loss carryforwards starting with the 2020 tax period.
The ten-year period also applies at the federal level when offsetting losses from foreign permanent establishments in Switzerland. As before, the cantons retain the discretion to enact their own provisions regarding losses from permanent establishments.
Further information is available here.
