The granting of interest-free or insufficiently interest-bearing advances or loans to participants or third parties related to them constitutes a payment in kind. This shall also apply to translated interest which is paid on the basis of obligations to participants or third parties close to them.

The following two FTA circulars provide information on the appropriate interest rate for advances or loans in Swiss francs and foreign currencies:

All FTA circulars are available here.

Tax topics covered in this post:
Income Tax
Profit Tax