WAK-S: Withholding tax

The WAK-N initiative calls for a change from the debtor to the paying agent principle. One of the main differences to the draft, which was sent for consultation by the Federal Council in 2014 and suspended in 2015 pending the vote on the popular initiative 15,057 "Yes to the protection of privacy", which was finally withdrawn, is that voluntary reporting is no longer permitted. With this decision, the majority of the Commission wants to reaffirm its wish that the change to the paying agent principle should now be implemented rapidly so that the disadvantages for the Swiss capital market can be eliminated. The WAK-N will then have to decide for itself whether it wishes to draw up its own draft or whether, in view of the complexity of the issue, it prefers to wait for the Federal Council's draft. The Commission will inform the Federal Council that its decision in no way implies that the group of experts entrusted with assessing various reform options should cease its work.

Furthermore, the Commission unanimously adopted new proposals on Art. 20a and Art. 38 in the 18.030 n Withholding Tax Act, according to which the reporting period for winnings in kind from taxable money games and from lotteries and games of skill for sales promotion purposes should be 90 days after the due date of the prize (instead of 30 days after receipt of the prize).

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