Federal Council adopts dispatch on the reimbursement of unlawfully levied VAT on Billag fees

In two landmark rulings, the Federal Supreme Court ruled that no value added tax may be levied on reception fees and that the federal government must repay the taxes levied between 2010 and 2015. Between the two decisions, Parliament referred the motion Flückiger-Bäni, which demands a refund of the unlawfully levied VAT for all households and companies. A legal basis must be created so that all households can benefit from a lump-sum refund without having submitted a request for repayment.

In its message for the new law on the flat-rate reimbursement of VAT on radio and television reception fees, the Federal Council envisages repaying a maximum of CHF 185 million. Based on a current estimate, the number of eligible households is expected to be 3.7 million. The remuneration is 50 francs per household. Households do not need to become active for the reimbursement and there is no need for time-consuming and costly individual case clarifications. The Federal Council is therefore of the opinion that it has opted for a simple and efficient solution with the flat-rate payment of VAT. The solution was welcomed in the consultation process.

Contrary to the motion submitted by Flückiger-Bäni, the Federal Council does not believe that a flat-rate remuneration is appropriate for companies. According to the Federal Council, most companies were able to deduct input tax and have not suffered any economic losses. The other companies may continue to assert their individual claims against OFCOM.

If Parliament agrees to a flat-rate allowance, the credits can probably be made in 2021.

The press release of the Federal Council is available here.