Overview of the tax rulings of the Swiss Federal Administrative Court published between July 14 - 20, 2025:
- Judgment of July 04, 2025 (A-1477/2024): VAT 2021 - 2022; input VAT deduction in connection with participations; It is disputed whether input VAT incurred in connection with the acquisition, holding and sale of participations is fully entitled to input VAT deduction or pot A or whether it is all to be allocated to pot C (mixed use). On the part of the FTA, they were allocated to pot C and corrected using a turnover key, whereby the turnover key was only based on the inflows of funds qualifying as remuneration and not on non-remuneration. The assessment of the input tax deduction must be made in the context of the overall business activity. As a result, the appeal is to be rejected insofar as all input tax in connection with the acquisition, holding and sale of participations is to be allocated directly to pot C. However, A. AG's appeal must be partially upheld insofar as the FTA's determination of the input tax correction key was not carried out properly and the matter must be referred back to the FTA so that it can determine a new, appropriate input tax correction key for pot C in accordance with the considerations.
- Judgment of July 08, 2025 (A-1652/2025): Value added tax 2016 - 2019; reference tax; The purpose of X. SA is, inter alia, to carry out captive reinsurance activities in all insurance sectors. In the present case, it is disputed whether X. SA is liable for purchase tax on the services received from Y. SpA on the services received from Y. SpA. In the period relevant here and with regard to the support services, there is a fundamentally taxable supply relationship between Y. SpA and X. SA. In summary, the benefits paid by Y. SpA to X. AG do not qualify as exempt insurance services pursuant to Art. 21 para. 2 no. 18 MWSTG and are therefore taxable. The place of supply is in Switzerland pursuant to Art. 8 para. 1 MWSTG and the purchase tax is due. The lower court was therefore obliged to make an assessment at its own discretion and X. SA did not succeed in refuting this. Dismissal of the appeal of X. SA.
Administrative Assistance:
- Judgment of June 27, 2025 (A-3588/2023): Administrative assistance DTA CH-US
- Judgment of June 27, 2025 (A-3615/2023): Administrative assistance DTA CH-US
- Judgment of June 27, 2025 (A-3590/2023): Administrative assistance DTA CH-US
- Judgment of June 27, 2025 (A-3591/2023): Administrative assistance DTA CH-US
- Judgment of June 27, 2025 (A-3589/2023): Administrative assistance DBA CH-US
- Judgment of June 27, 2025 (A-3617/2023): Administrative assistance DTA CH-US
- Judgment of June 27, 2025 (A-3618/2023): Administrative assistance DTA CH-US
- Judgment of June 27, 2025 (A-3619/2023): Administrative assistance DTA CH-US
- Judgment of June 27, 2025 (A-2406/2023): Administrative assistance DTA CH-US
- Judgment of June 26, 2025 (A-485/2024): Administrative assistance DTA CH-JP
- Judgment of July 09, 2025 (A-7214/2024): Administrative assistance DTA CH-ES
Decisions are listed chronologically by publication date.
