Tax-exempt legal entities for profit and supplementary taxes in Switzerland - A legal comparison
Not only the federal, cantonal and communal taxes on profits (DBG, StHG), but also the supplementary taxes (GloBE model regulations, MindStV) recognize the concept of subjective tax exemption for legal entities. The regulations are basically congruent, but there are several case constellations of practical relevance in which the supplementary taxes override the profit tax exemption (e.g. cantonal banks, health insurance companies, newly established companies). The author therefore sees a need for action on the part of legislators and tax authorities.
VAT treatment of fiscal and other financial incentives to promote business locations
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.
Inheritance and gift tax at federal level - the so-called "Future Initiative" of the JUSO
The "Future Initiative" aims to tax the assets of natural persons through an additional inheritance and gift tax at federal level. With an exemption amount of CHF 50 million, the tax affects wealthy individuals. The proposed tax rate was set at 50%, without providing for exceptions to taxation. Due to the existing inheritance and gift taxes, this could lead to a much higher effective tax burden. Numerous unresolved questions and a planned retroactive effect are already causing great uncertainty well before a referendum at the beginning of 2026. This article uses examples to illustrate possible consequences and measures for action.
Restructuring and insolvency - legal requirements under the revised stock corporation law
As part of its management and financial responsibility, the Board of Directors is obliged to monitor the financial situation of its company. If a company gets into financial difficulties, it must take measures to avert insolvency or at least prevent the damage from increasing. The revised Stock Corporation Act, which came into force on January 1, 2023, imposes specific duties on the board of directors in the event of imminent insolvency, half capital loss and over-indebtedness. This article deals with the legal requirements and shows to what extent the revision has brought changes to these restructuring-related provisions and what new questions arise in practice.
National Council wants to prevent double taxation of companies
The National Council wants to do something about double taxation of companies. To this end, the cantons should be empowered to reduce the wealth tax.
National Council approves agreement against tax avoidance
Parliament supports the implementation of international standards against corporate tax avoidance. Following the Council of States, the National Council has also come out in favour of an agreement.
National Council does not want a code of interpretation on tax self-reports
The National Council does not consider it necessary to know how the number of voluntary reports of tax evaders with impunity has developed since 2010. It narrowly refused by 98 votes to 93 to commission the Federal Council with a report on the matter. Even the latter would have considered it useful.
Stricter rules for cross-border online trade
The rules for cross-border online trade will be tightened: the Federal Council must take measures to make foreign online marketplaces and service platforms subject to value-added tax when supplying goods or services to Switzerland.
National Council wants to reduce VAT rate for tampons and bandages
Tampons, bandages and panty liners are to become cheaper. The National Council wants to reduce the VAT rate for feminine hygiene products. Tacitly, on Friday, he tacitly accepted a motion by Neuchâtel SP National Councillor Jacques-André Maire. This will now go to the Council of States.
National Council wants to facilitate intra-group financing
The Federal Council should resume work on the reform of the withholding tax - with a view to tax relief for intra-group financing. This is what the National Council demands. On Wednesday he adopted a motion from his economic commission. Opponents warned of tax shortfalls.
