The articles of the zsis) - Center for Swiss and International Tax Law are summarized in quarterly issues at the end of each quarter. Register for free and read the current quarterly issue.
The articles of the zsis) - Center for Swiss and International Tax Law are summarized in quarterly issues at the end of each quarter. Register free of charge and read the current quarterly issue including the main topics.
You can find all quarterly issues from 2019 onwards in our archive.
zsis - Center for Swiss and International Tax Law is a digital information and research platform for practitioners. Our articles are divided into nine tax law topics and marked with corresponding colors. These contributions appear in the following formats: Articles, News and Documents.
In the following you will find a selection of the latest articles...
The article analyzes the tax treatment of compensation paid in connection with the encumbrance by easements or their deletion. The focus is on the question of whether such transactions are equivalent to a sale and are subject to property gains tax. Legal criteria and practical examples are used to show how these cases are assessed under tax law.
Non-profit status depends largely on the framework conditions. If these are right, people are willing to make a contribution - be it through donations or volunteering. Tax law provides important incentives: it exempts charitable organizations from tax liability and allows donations to charitable organizations to be deducted from taxable income. Tax law has thus made a significant contribution to the strong growth of the charitable sector in recent years. The foundation sector is booming.
The charitable sector is of enormous importance in Switzerland. With around 13,900 foundations, Switzerland has the highest density of foundations in Europe. These foundations are managed by around 62,000 foundation board members. Foundation assets are estimated at CHF 140 billion. With distributions of CHF 1.5 to 2.0 billion per year, charitable foundations in Switzerland make a valuable contribution. The recipe for success is in particular the favorable legal framework in Switzerland, first and foremost the standards for tax exemption due to charitable status.
This article discusses the new practice in the Canton of Zurich regarding the tax exemption of charitable institutions, which has been published since February 2024. First, procedural issues, in particular the application for tax exemption, are discussed. It then looks at the key points of the practice determinations, i.e. compensation for governing bodies, activities abroad and entrepreneurial funding models.
Since the introduction of value added tax (VAT) in 1995, its application to foundations has repeatedly given rise to discussion. Questions such as whether and when they are liable to pay tax, whether they are allowed to deduct input tax or when they are considered charitable still give rise to discussions today. The Federal Supreme Court has also dealt with VAT issues relating to foundations on several occasions. In the new revision of the Value Added Tax Act (VATA), there are also changes that could affect foundations in particular. This article deals with the most important issues that foundations have to deal with in the VAT environment.
This article deals with the tax treatment of donations by founders and sponsors. In particular, it examines the extent to which the establishment of a charitable foundation can be interesting from a tax perspective in addition to social or socio-political motives, but also what specific obligations and challenges are associated with this. It also examines the question of whether legal entities in particular, such as foundations, can make donations.
As a result of the global minimum tax, Switzerland must rethink its existing fiscal incentives to strengthen the location of business standards. The tax advantage of existing incentives (e.g. special R&D deduction, patent box) loses its effectiveness for affected companies. The first cantons are therefore proposing new instruments such as the Qualified Refundable Tax Credit or state subsidies. This article examines the question of whether such new incentives to promote business locations fall under the VAT term "subsidies and other contributions under public law" and how they should therefore be treated, in particular to what extent a reduction of the input tax deduction should be applied or can be waived.
On January 20, 2025, the FTA published circular no. 32a regarding the "Restructuring of corporations and cooperatives".
As of January 1, 2025, all companies subject to VAT must file their VAT online via the ePortal.
On January 8, the SIF published the Memorandum of Understanding dated December 5, 2024 regarding the eligibility of certain US and Swiss pension funds to claim treaty benefits pursuant to Art. 10 para. 3 DTA CH-USA.
The imputed interest rate on the security equity corresponds to the yield on ten-year federal bonds on the last trading day of the calendar year preceding the beginning of the tax period in accordance with Article 25abis paragraph 4 first sentence StHG.
The partially revised VAT Act and the VAT Ordinance and various other important changes have been in force since 1.1.2025. Further information and clarifications have been published on selected topics.
The Federal Office for Customs and Border Security has amended Directive R-120-3 "Cross-border traffic in tobacco, manufactured tobacco products and substitute products" as of January 1, 2025.
On December 17, 2024, the SIF announced that a new memorandum of understanding had been concluded between Switzerland and France on the taxation of cross-border teleworking.
The Federal Tax Administration (FTA) has published the 2025 withholding tax rates for all cantons.
On November 27, 2024, the Federal Council adopted the dispatch on extending loss offsetting from seven to ten years.
On December 13, 2024, the Federal Council adopted the dispatch on the popular initiative "For a social climate policy - fairly financed through taxation (Initiative for a future)". It rejected the initiative of the Young Socialists (JUSO) without a direct counter-proposal or indirect counter-proposal.
On December 13, 2024, the Federal Council published the report in fulfillment of postulate 22.3396 WAK-N from May 2022 "Avoiding disadvantages for Swiss companies through a uniform taxation practice".
The protocol of amendment to the DTA between Switzerland and Kuwait has entered into force. With a few exceptions, most of the amendments are applicable from January 1, 2025.
From January 1, 2025, people working in Switzerland who have not paid the maximum permissible contributions into their pillar 3a every year since the bill came into force will be able to pay these contributions retroactively for up to ten years and deduct these purchases from their taxes.
Recent case law in the area of sales tax for intermediaries in a group relationship has prompted the FTA to make clarifications in its administrative practice regarding Art. 13 para. 1 and Art. 13 para. 3 lit. b no. 2 StG. The two practical clarifications will be applied with immediate effect and will apply to all cases currently pending with the FTA.
