News Taxes
Even in the realm of taxation, there are opportunities to earn interest, and what's more, it's tax-free. With the generally increased interest rate environment, the topic of interest for early payments of cantonal and municipal taxes by individuals is once again in focus. Several cantons in Switzerland are now reinstating this practice, rewarding those taxpayers who settle their taxes early.
Latest tips to save taxes:
The Swiss Federal Tax Administration consistently enforces deadlines for withholding tax declarations and initiates administrative penalty proceedings with fines of up to a maximum of CHF 5,000 for delays. It is therefore strongly recommended that companies strictly adhere to the deadlines to avoid unnecessary hassle and potential fines.
The Swiss Federal Tax Administration published the new circular letters regarding safe haven interest rates on advances and loans in Swiss francs and in foreign currencies for 2024.
Last Sunday, voters in Zug clearly approved the 8th partial revision of the Zug Tax Act with a Yes vote of 72.3%. The following changes will therefore apply from the 2024 tax year:
Pay into your Pillar 3a and make individual and flexible provisions for the future. At the same time, you benefit from lower taxes, as this reduces your taxable income.
On Sunday, June 18, 2023, the Swiss electorate approved the implementation of the OECD/G20 project on the taxation of large corporate groups in Switzerland with a clear "Yes" (78.45%).
Federal Court decision on the deductibility of maintenance costs in the case of a total renovation
Cross boarder workers and senior executives according to DTT CH/DE and multilateral agreement on the jurisdiction in case of remote working
Latest tips to save taxes:
As of January 1, 2023, the following simplifications have occurred in connection with the notification procedure for withholding tax purposes within a group:
The Swiss Federal Tax Administration published the new circular letters regarding safe haven interest rates on advances and loans in Swiss francs and in foreign currencies for 2023.
On July 13, 2022, the Government Council of the Canton of Zurich submitted a proposal to the Cantonal Council for an increase in the deduction for childcare costs in state and municipal taxes.
The Federal Council has discussed increasing tax deductions for health insurance premiums.
With the introduction of individual taxation, in future mainly married couples with an equal distribution of income and pensioner couples will be relieved.
The Federal Council has adopted two changes to the notification procedure.
Planning 8th partial revision of the Zug tax law: Further relief planned, especially for families.
SFTA circular letters regarding safe haven interest rates for 2022 – Increase of safe haven interest rates for foreign currencies
Reduction of wealth tax values of securities without market value through adjusted valuation procedure
The rate correction is to be applied for the first time for the tax year 2021 and the corresponding application must be submitted by March 31, 2022 (same deadline as for the rate correction).
Save taxes by paying into your 2nd and 3rd pillars and thereby reducing your taxable income.
In future, heirs are to reclaim withholding tax on inheritance income in their canton of residence. This new regulation enters into force on 1 January 2022.
The promotion of home ownership with funds from the occupational pension plan ("WEF") is, among other restrictions, in principle only possible for owner-occupied residential property (own use) and must be repaid in the event of a sale (or economically equivalent thereto). However, the Federal Supreme Court has now rejected the repayment claim of the pension fund in a case (BGE 9C_293/2020) with WEF advance withdrawal and later rental.
In recent weeks, a number of resolutions have been passed and changes initiated by the Federal parliament. Here is a brief overview of the most important points:
The Swiss Federal Tax Administration (“SFTA”) has updated the 2020 exchange rate lists including several crypto assets.
The Swiss Federal Tax Administration decides on a long overdue administrative simplification:
As the first canton in Switzerland, Zug is once again taking a pioneering role.
The people of Zug clearly said yes to the amendment of the Zug tax law to manage the financial consequences caused by the coronavirus.
SFTA cirular letters regarding safe haven interest rates for 2021 – some significant reductions in safe haven interest rates for foreign currencies
Register now to join this event: https://lnkd.in/dt5iiDn
The future is digital. With our new software, all tax documents are digitised and filed in the right place for further processing.
Those who plan for retirement in a timely manner can save a lot on their taxes upon payout. It is important to arrange for the assets to be paid out over several calendar years.
Initial Coin Offerings (ICO), i.e. the raising of capital through the release of blockchain-based coins or tokens, are currently very much in vogue.
Despite the introduction of the Automatic Exchange Of Information (AEOI) at the beginning of 2018, a unpunished voluntary disclosure is still possible.