Switzerland Notes Upcoming Tax Changes
Friday, November 2, 2018
The Swiss Federal Tax Administration has published a list of changes to the tax system that will take effect over the period 2019-2021.
The list has been published in the official Swiss languages. It contains information on the following changes, effective from January 1, 2019:
- Legislation to implement the recommendations of the Global Forum on tax transparency on the exchange of information upon request;
- An adjustment to the too-big-to-fail regime to ease the tax burden on banks;
- Changes to the federal law on withholding tax, regarding the right to a refund;
- An amendment to the gaming tax regime involving the replacement of the lottery tax and the introduction of an exemption on the first CHF1m in lottery winnings;
- An amendment to the VAT Act to implement changes to the mail order regulation; and
- An amendment to the federal law on the harmonization of the direct taxes of the cantons and municipalities.
The following changes will be effective from January 1, 2020:
- An amendment to the federal law on the tax treatment of financial sanctions; and
- The federal government's competence to collect the federal direct taxes and VAT will be extended by 15 years.
The following changes will be effective from January 1, 2021:
- An amendment to the federal law on the revision of withholding tax on earned income; and
- The revision of the EFD withholding tax regulation.