Taxation of employees in the case of cross-border work in the home office
Sarah Bühler, René Matteotti and Peter Vogt address the taxation of international employees and their home office activities. They provide an overview of the existing regulations and pay particular attention to the cross-border commuter agreements with Switzerland's neighboring countries.
Implications of the home office for cross-border commuters between Switzerland and Germany
Working from home has become much more important due to the Corona pandemic. Many employers have found that working from home has proven successful and have introduced regulations that enable mobile working. This also affects cross-border commuters between Germany and Switzerland. A variety of tax regulations, especially in the DTA D-CH, as well as consequences under social security law must be taken into account.
Home office and the cross-border commuter agreement with Italy
Today, around 85,000 Italian residents work in the border cantons of Ticino, Grisons and Valais. The cross-border commuter agreement concluded with Italy is of great importance especially for the canton of Ticino with its approximately 75,000 cross-border commuters, of which around 66,000 are considered cross-border commuters within the meaning of the agreement.
Cross-border commuter regulation Switzerland-Liechtenstein
The double taxation agreement between Switzerland and Liechtenstein contains a special rule for cross-border commuters, according to which the income from employment earned in the State of activity is allocated to the State of residence for taxation. If, on the other hand, an employee in a cross-border context does not meet the criteria established for cross-border commuters, the earned income is allocated for taxation to the State of activity and the State of residence on a pro rata basis in accordance with the general principles. Against this background, employers who employ cross-border commuters from Liechtenstein or Switzerland have different clarification and declaration obligations.
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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.
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.
Council of States approves various double taxation agreements
At its meeting on 4 June 2020, the Council of States approved various double taxation agreements (DTAs).
SIF updates tax relief tables for various countries (4 June 2020)
On 4 June 2020, the State Secretariat for International Financial Matters (SIF) updated the overviews of tax relief for various countries. This concerns the overviews of the effects (extent of the relief) of the agreements with Bangladesh, China, Chinese Taipei, India, Ireland, Malaysia, the Philippines, Singapore and Sri Lanka.
FDK publishes statement on the consultation of the federal law on withholding tax
On 29 May 2020, the Conference of Cantonal Finance Directors (FDK) published a statement on the consultation process for the federal law on withholding tax.
New OECD report on post-pandemic planning for tax administrations published
On 26 May 2020 the OECD published the new report "Tax Administration Responses to COVID-19: Recovery Period Planning". This third COVID-19 report addresses the main issues that tax administrations should consider when planning the recovery period under COVID-19. According to the OECD report, early planning for the resumption of entrepreneurial activity is necessary for both tax administrations and taxpayers in order to identify the most important challenges and opportunities at an early stage and to take preparatory measures.
Automatic exchange of information on financial accounts - Federal Council publishes the audit report on 33 partner states
On 20 May 2020, the Federal Council submitted the audit report on the standard-compliant implementation of the Automatic Exchange of Information to the relevant parliamentary commissions (WAK-N and WAK-S) for consultation. The report examined compliance by the partner states with the audit criteria of the Federal Decree on the Audit Mechanism of 6 December 2017, such as whether data confidentiality is guaranteed.
Consultation agreement with France on the taxation of frontier workers in the case of tele- or home-office work
On 14 May 2020, the State Secretariat for International Financial Matters SIF reported the conclusion of a new consultation agreement between Switzerland and France on the taxation of cross-border commuters in the case of teleworking or home office work.
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Intercantonal and international tax differentiation for real estate of business and private assets
ISIS)-Seminar on 11-12 September 2017 - Intercantonal and international tax differentiation for real estate held as business and private assets
