On October 22, 2019, the Federal Tax Administration (FTA) published the circular "Interest rates in the area of direct federal tax for the calendar year 2020 / maximum deductions pillar 3a in the tax year 2020".
According to the Circular "Interest rates in the area of direct federal tax for the calendar year 2020 / maximum deductions pillar 3a in the tax year 2020", the interest rates in the area of direct federal tax for the calendar year 2020 remain unchanged compared to the previous year. The interest on arrears and refunds will remain at 3% and the interest on advance payments at 0% (cf. our article of 12 October 2019).
The tax deduction within the framework of tied personal provision (pillar 3a) also remains unchanged for the tax year 2020. The following maximum deductions therefore apply, as in the 2019 tax year:
- Maximum Pillar 3a deduction for taxpayers with 2nd pillar: CHF 6,826.00
- Maximum deduction pillar 3a for taxpayers without 2nd pillar: CHF 34'128.-
