Federal Council adopts dispatches on the new double taxation agreement with Bahrain and on the amendments to the DTA with Kuwait
At its meeting on 26 August 2020, the Federal Council adopted the messages on a new double taxation agreement (DTA) with Bahrain and on the Protocol of Amendment to the DTA with Kuwait.
New rates of duty applicable to imports of seasoned meat
After several years of settlement negotiations with its trading partners, the Federal Council decided on 26 August 2020 to apply the new regulation for seasoned meat from 1 January 2021.
Tax information dossier "Administrative and legal assistance in tax matters" updated
On 13 August 2020, the article "Administrative and legal assistance in tax matters" was updated from the Federal Tax Administration (FTA) tax information dossier
Amendment of the Ordinance on the Conscription Compensation Levy (WPEV)
At its meeting on 12 August 2020, the Federal Council decided that all civil defence days worked should be credited towards the reduction of the substitute levy. The amended ordinance on the military service exemption tax will come into force on 1 January 2021.
Memorandum of Understanding between Switzerland and the USA
The State Secretariat for International Financial Matters (SIF) reports the conclusion of a memorandum of understanding between the Swiss Confederation and the United States of America concerning the rules of procedure of the arbitration procedure provided for in Art. 25 para. 6 and 7 DBA CH/USA.
FTA publishes circular on flat rates for professional expenses and remuneration in kind 2021
The Swiss Federal Tax Administration (FTA) has published a circular "Professional expense allowances and benefits in kind 2021 / Compensation for the consequences of cold progression in direct federal tax for the 2021 tax year
FTA publishes Circular Letter No. 49 "Proof of business-related expenses for foreign transactions abroad" and Circular Letter No. 50 "Inadmissibility of tax deduction of bribes paid to public officials".
On 13 July 2020, the FTA published Circular Letter No. 49 "Proof of business-related expenses for foreign transactions abroad" and Circular Letter No. 50 "Inadmissibility of tax deduction of bribes paid to public officials".
Extension of time limit for tax-free export in tourist travel
The Federal Department of Finance (FDF) is extending the period for tax-free export of goods purchased by tourists in Switzerland from 30 days to 90 days. The change will come into force on 1 August 2020.
Measures in accordance with the consultation agreement with France on the taxation of cross-border commuters for tele- or home office work will end on 31 August 2020
The State Secretariat for International Financial Matters SIF reported on 20 June 2020 that the effects of the understanding agreement between Switzerland and France on the taxation of cross-border commuters for teleworking or home office work will end on 31 August 2020.
Switzerland and Malta sign Protocol of Amendment to the Double Taxation Convention
On 16 July 2020, Switzerland and Malta signed a protocol amending the agreement to avoid double taxation (DTA) in the area of taxes on income and wealth. The protocol implements the minimum standards from the BEPS project in matters of double taxation agreements.
Switzerland and Cyprus sign Protocol of Amendment to the Double Taxation Convention
On 20 July 2020, Switzerland and Cyprus signed a protocol amending the agreement to avoid double taxation (DTA) in the area of taxes on income and wealth. The protocol implements the minimum standards from the BEPS project with regard to double taxation agreements.
Switzerland and Liechtenstein sign Protocol of Amendment to the Double Taxation Convention
On 14 July 2020, Switzerland and Liechtenstein signed a protocol amending the agreement to avoid double taxation (DTA) in the area of taxes on income and wealth. The protocol implements the minimum standards from the BEPS project in matters of double taxation agreements.
The FTA has updated the statistics on the capital contribution principle
The Federal Tax Administration (FTA) has updated the statistics on the capital contribution principle (capital contributions, repayments and other changes) as of 30 June 2020.
SIF updates tax relief tables for various countries (10 July 2020)
On 10 July 2020, the State Secretariat for International Financial Matters (SIF) updated the overviews of tax relief for various countries (Foreign withholding taxes per country).
Vote on the proposal to increase child deductions
On 27 September 2020, a vote will be held on whether the general child deduction and the deduction for third-party childcare should be increased in the Federal Direct Federal Tax Act (DBG).
FTA publishes statistics on the tax burden on individuals
A review of the 2010-2018 data shows that the tax burden in Switzerland has declined during this period.
FTA - Dossier Tax Information: "Taxation of Legal Entities" and "Brief Overview of the Taxation of Legal Entities
On 26 June 2020, the Federal Tax Administration (FTA) updated the article "Taxation of Legal Entities" and "Brief Overview of the Taxation of Legal Entities" from the Tax Information dossier.
Publication of the drafts of the practical definitions of the VAT Department (25 June 2020)
On 25 June 2020, the Federal Tax Administration (FTA) published a new first draft on the definition of practice in the consultative body.
ESTV - VAT online billing will become standard
The Swiss Federal Tax Administration (FTA) continues to expand its online applications. The announced switch from paper invoicing to online invoicing will take place on 1 January 2021.
FTA publishes material adjustments concerning publications on the VAT Act (23 June 2020)
On 23 June 2020, the Swiss Federal Tax Administration (FTA) published material adjustments concerning the publications on the Value Added Tax Act (VAT Act).
FTA publishes revised guidelines for future taxable persons
The Federal Tax Administration (FTA) has revised the publication "Guide for future taxpayers". It provides an overview of the assessment of income and wealth taxes for individuals.
Block chain and distributed ledger technology: No changes to tax law
At its meeting on 19 June 2020, the Federal Council took note of the report on a possible need to adapt tax law in the area of block chaining. The report comes to the conclusion that there is no need for specific legislative adjustments in tax law.
Memorandum of Understanding between Switzerland and Italy concerning COVID-19 measures
On 20 June 2020, the State Secretariat for International Financial Matters (SIF) reported the conclusion of a new memorandum of understanding between Switzerland and Italy concerning COVID-19 measures.
Federal Council opens consultation on the partial revision of the VAT Act and the VAT Ordinance
At its meeting on 19 June 2020, the Federal Council opened the consultation procedure on the partial revision of the Value Added Tax Act (MWSTG) and the Value Added Tax Ordinance (MWSTV). Against the background of the further development of VAT in the digitalised and globalised economy, it proposes, among other things, comprehensive taxation of mail order platforms and simplification of invoicing for SMEs. The proposal also implements other parliamentary proposals.
Consultation agreement with Germany on the taxation of cross-border workers and state support services
On 11 June 2020, the State Secretariat for International Financial Matters SIF concluded a new consultation agreement between Switzerland and Germany on the taxation of cross-border commuters and the treatment of state support services.
