Our Blog on Tax Law Topics


Forfeiture of the right to reimbursement under the new law (Art. 23 VStG) since January 1, 2019


Since 1 January 2019, a new provision on forfeiture of the right to reimbursement pursuant to Art. 23 VStG has been in force. If the reimbursement claim has not yet been legally determined, the new law applies to all claims that have arisen since 1 January 2014 (Art. 70d VStG).


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OECD Tax Talk #12 – BEPS

Bucher Tax AG, Switzerland, Lucerne, Zug, international, BEPS, OECD, tax planning, tax consultancy, tax advisory, tax advisor, tax expert, companies, corporate tax, establishments, location consultancy, direct federal tax, taxes, AEOI, corporate successio

The 12th OECD Tax Talk took place on 11 June 2019. Attending were Pascal Saint-Amans, Director of Centre for Tax Policy and Administration, Achim Pross, Head of International Co-operation and Tax Administration, Sophie Chatel, Head of Tax Treaty Unit, Mayra Lucas, Senior Advisor Tax Treaties & Transfer Pricing Division, and David Bradbury Head of Tax Policy and Statistics Division.


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Patent box to enhance Switzerland's tax attractiveness

Bucher Tax AG, taxes, Switzerland, Lucerne, Zug, international, BEPS, OECD, STAF, Steuervorlage 17, patents, swiss electorate, tax reform, tax advisor, tax consultant, corporate taxes, privat individuals, companies, establishments, tax planning, relocatio

Many Swiss and foreign multinational corporations with a strong business presence in Switzerland are

affected by the changes in the Swiss tax system brought about by the new federal law on tax reform and AHV financing. An important part of this are the

provisions for the introduction of a patent box, which is intended to maintain and strengthen the attractiveness of Switzerland as a tax location.


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New tax rules for winnings from games of chance - a two-fold stroke of luck

Bucher Tax AG, taxes, Switzerland, international, Lucerne, Zug, tax planning, tax reform, tax rules, profit, money games, withholding tax, income tax, private individuals, tax expert, tax advisor, federal tax, cantonal and municipal taxes, tax declaration

 

Winners of games of chance have two reasons to rejoice. Not only have they won a large sum of money with no or a miniscule contribution, but the lucky ones are also allowed to transfer their winnings to the bank without paying (almost any) income and withholding taxes. As of 1 January 2019, the rules regarding the taxation of winnings were amended.


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What is a tax ruling - and are agreements with the tax authorities per se of the devil?

Bucher Tax AG, taxes, Switerland, Lucerne, Zug, international, national, tax planning, tax expert, tax consultancy, business relocation, establishments, tax ruling, agreement tax authorities, tax advisor, location consultancy, tax declaration

 

Almost every economic decision taken by a private individual or a company has tax implications. On the other hand, tax legislation does not provide regulations for individual situations. Tax law is designed to be open and flexible so that it can be applied to as many economic situations as possible.


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The abolition of the marriage penalty - a long overdue step?

Bucher Tax AG, taxes, Switzerland, parliament, federal court decision, Switzerland, Lucerne, Zug, tax planning, tax advisory, federal tax, cantonal and municipal tax, tax reform, tax bill, private individuals, marriage penalty, abolition, self-employed

«The abolition of the marriage penalty» - ever since the referendum of 28 February 2016, this term has been universally known. Ist popularity has not declined since the lost referendum and has been on

everyone's lips again since 10 April 2019. 


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Is it worthwhile for young people to pay into a social security pillar 3a?

Bucher Tax AG, taxes, Switzerland, Lucerne, Zug, tax planning, tax consultancy, tax advisor, social security, pillar 3a, private individuals, tax declaration, federal tax, cantonal and municipal tax, advanced trainings, self-employed, tax consulting, tax

From the age of 18, you become subject to the old-age and survivors’ insurance (OASI/AHV) in Switzerland. Many are unaware that this is also the time from which you can start paying into the pillar 3a.


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Implementation of the Steuervorlage 17 / TRAF in the individual cantons


We track the developments and reactions regarding the Steuervorlage 17 (SV17) / TRAF in the individual cantons for you.


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How does a NON EU/EFTA citizen obtain a residence permit/work permit for Switzerland?

Bucher Tax AG, Switzerland, national, international, taxes, Lucerne, Zug, tax planning, residence, location consultancy, establishments, foundation, start-up, tax consultant, work permit, permit, non EU/EFTA citizen, tax declaration, tax return

Living and working in Switzerland is still highly attractive to foreigners. In order to achieve this goal, foreigners must overcome many official hurdles. Switzerland has a tightly knit system that regulates and controls the access of foreign nationals to Switzerland. When processing applications from abroad, in Switzerland the first major step is to distinguish between citizens from EU/EFTA countries and citizens form non-EU/EFTA

countries. In the following, the rules for citizens from a non-EU/EFTA country (third-country nationals) are described in detail. We have presented the rules for citizens from EU/EFTA countries in a separate article.


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How does an EU/EFTA citizen obtain a residence permit/work permit for Switzerland?

Bucher Tax AG, taxes, Switzerland, Lucerne, Zug, international, private individuals, location consultancy tax advisor, EU citizen, work permit, residence permit, tax declaration, tax return, income tax, establishment, tax consultant, business relocation

Living and working in Switzerland is still highly attractive to foreigners. In order to achieve this goal, foreigners must overcome many official hurdles. Switzerland has a tightly knit system that regulates and controls the access of foreign nationals to Switzerland. When processing applications from abroad, in Switzerland the first major step is to distinguish between citizens from EU/EFTA countries and citizens form non-EU/EFTA

countries. In the following, the rules for citizens from an EU/EFTA country are described in detail. We have presented the rules for citizens from non-EU/EFTA countries in a separate article.


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OECD Tax Talk #11 – BEPS

Bucher Tax AG, taxes, BEPS, Switzerland, OECD, Lucerne, Zug, tax planning, tax advisory, digital economy, companies, corporate tax, private individuals, establishments, foundation, business relocation, nexus approach, tax planning, profit tax

On 29 January 2019, the first webinar of the new year 2019 took place with Pascal Saint-Amans, Director of the Centre for Tax Policy and Administration, Achim Pross, Head of International Co-Operation and Tax Administration, Sophie Chatel, Head of Tax Treaty Unit, Sandra Knaepen,

Head of Mutual Agreement Procedure Unit, as well as Anne Moore and Tibor Hanappi of the Tax Policy and Statistics Division.


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Principles and rules applicable to requests for administrative assistance in the light of the current jurisdiction of the Federal Supreme Court

Bucher Tax AG, taxes, Switzerland, national, Lucerne, Zug, tax planning, federal court decision, tax consultant, companies, private individuals, corporate tax, income tax, tax expert, OECD, STAF, Steuervorlage 17, BEPS, AIA, AEOI, administrativ assistance

In recent years, the exchange of tax information has been massively reinforced by the further development of existing and the creation of new instruments. The aim of the international community is to prevent tax advantages resulting from deliberate concealment of tax data by the taxpayer. Historically, requests for administrative assistance have been a well-known instrument for this purpose. In recent years, the automatic and spontaneous exchange of information have been created as new Instruments.


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Tax burden in Switzerland 2018: international comparison


On 25 January 2019, the Federal Tax Administration (FTA) published the annual statistical comparison «Tax burden 2018: international comparison. Tax rates and tax/GDP ratios in different OECD-countries».


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OECD Tax Talk #10 – BEPS

Bucher Tax AG, taxes, Switzerland, international, Lucerne, Zug, BEPS, OECD, nexus approach, tax consultant, tax planning, corporate taxes, companies, profit tax, private individuals, location consultancy, business relocation, establishments, STAF

On 16 October 2018, after six months of Radio silence, Pascal Saint-Amans, Director of the Centre for Tax Policy and Administration, reported back in a new Webinar together with Achim Pross, Head of International Cooperation and Tax Administration,

Jeffrey van Hove, Senior Tax Advisor, Tax Treaty, Transfer Pricing and Financial Transaction Division, Melissa Dejong, Head of Harmful Tax Practices & Tax and Crime Units, and Félicie Bonnet, Advisor Mutual Agreement Procedures Unit.


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Tax domicile in the canton of origin - often a problem for singles

Bucher Tax AG, Switzerland, national taxes, taxes, tax domicile, private individuals, tax authority, income tax, wealth tax, tax planning, tax rulings, tax consultant, federal court decisions, Einsprache, jurisprudence, cantonal taxes

In March 2018 and June 2018, the Federal Supreme Court issued two rulings regarding tax sovereignty and the determination of the tax domicile in an intercantonal settlement, thereby confirming its previous jurisprudence.


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The abolition of the imputed rental value on the verge of a breakthrough


The abolition of the imputed rental value - an old topic is suddenly on everyone's mind again. For years, this idea has occupied the tax policy discussion without having achieved any real progress. The chance that this relic from the Second World War will be abolished is within reach. In the following we show you the development and implications of this system change.


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Development after the vote on the CTR III through the Steuervorlage 17 to the TRAF


We always keep you informed about the latest developments regarding the Steuervorlage 17. Our presentation explains the new benchmarks of the SV 17 precisely and comprehensively.


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The 15 BEPS action points explained comprehensibly


On 22 August 2018 the Federal Council adopted the message on the BEPS Convention. But what exactly is the BEPS Project?


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Tax burden in Switzerland 2017


The Swiss Federal Tax Administration (FTA) has

calculated and announced the tax burden in the cantons and municipalities for 2017.


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If you commute to work by bicycle and public transport, you can accumulate professional expenditure deductions

Bucher Tax AG, Switzerland, taxes, national taxes, direct federal tax, cantonal- and municipal taxes, private individuals, tax planning, tax declaration, tax return, business-related expenses, tax expert, income tax, wealth tax, withholding tax, lump-sum

A, who is resident in the Canton of Zurich, makes his way to work every morning with a short 8-minute bicycle ride to the local railway station, in order to then use public transport to the destination station. All in all, the commute takes about 35 minutes. Although using a bicycle, complainant A would also be able to take the bus or even walk to the railway station.


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Alimony payments to children are not always deductible

Bucher Tax AG, Switzerland, taxes, national taxes, income tax, tax declaration, tax return, Lucerne, Zug, private individuals, federal court decisions, alimony, deductions, income tax, direct federal tax, cantonal- and municipal taxes, tax consultant

Complainant A, who lives with his wife B in the Canton of Fribourg, is the father of E, who was born in September 1990. In 2003, A committed himself in an alimony contract to pay a monthly contribution of CHF 15'000.00 in favour of E until he had reached the age of 18 or had completed an ordinary education.


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In the event of divorce or separation, it is worth considering the tax consequences early on

Bucher Tax AG, taxes, Switzerland, national taxes, income tax, private individuals, divorce, tax advise, tax consultant, federal court decision, marriage, separation, federal tax, tax declaration, tax return

The divorce or separation of couples is an emotional and tense issue. Conflicts and disagreements are constant companions, be it with regard to custody, alimony payments for children or the distribution of common assets. However, the tax consequences of a divorce should not be neglected either and addressed as early as possible.


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Relevant date for establishing economic affiliation in the acquisition of real estate

Bucher Tax AG, Switzerland, taxes, national taxes, income tax, real estate, property, tax domicile, Lucerne, Zug, private individuals, federal court decisions, tax planning, tax consultancy

In the tax period 2013, the married couple A.C. and B.C. had their tax-relevant domicile in the municipality U. in the Canton of Zurich. At the beginning of the same year, they concluded a contract with E. AG and V. AG regarding a condominium property still to be developed in the municipality W. in the Canton of Aargau.


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Intercantonal tax law regarding replacement properties with tax deferral

Bucher Tax AG, taxes, Switzerland, national taxes, intercantonal tax law, tax competition, Lucerne, Zug, federal court decision, private individual, real-estate, property, income tax, tax domicile, tax authority, tax return, tax declaration

On 1 April 2008, complainant A. sold a property she had occupied herself in the Canton of Berne at a profit of CHF 5'733'539. However, taxation was deferred due to the acquisition of a replacement property she had used herself in the Canton of

Geneva. She then also sold this replacement property in June 2010 and did subsequently not acquire any new property.


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The new withholding tax rules from 1 January 2021

Bucher Tax AG, Switzerland, national, taxes, national taxes, withholding tax, private individuals, companies, tax declaration, tax return, tax advisory, tax expert, tax planning, tax rules, tax reform, tax law

On 11 April 2018, the Federal Council decided to enact the Federal Law on the revision of the withholding tax on earned income and the associated amendments to the ordinances as of

1 January 2021. The long waiting period is mainly due to the fact that the cantons and concerned economic sectors should be given sufficient time to adapt to the changes.


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OECD Tax Talk #9 – BEPS

Bucher Tax AG, taxes, Switzerland, national taxes, international taxes, OECD, BEPS, digital economy, corporate taxes, companies, business relocation, tax planning, tax consultancy, tax declaration, tax return, interim report, digitalisation of the economy

Today, the digitisation of the economy is undoubtedly a new challenge for the international tax community. As part of the OECD's BEPS project, the Interim report of 16 March 2018 shed light on a wide variety of proposed solutions and

the respective positions of the individual states.


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Forfeiture of the right to reimbursement under previous law (Art. 23 VStG)


The new Art. 23 VStG has been in force since

1 January 2019 and has fundamentally changed the conditions for withholding tax reimbursement claims. However, for withholding tax claims that arose before 1 January 2014 the old jurisdiction still applies (see 2C_397/2017 of 9 May 2019), which is explained below.


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Application of the capital contribution principle for dividends from abroad


In his 2012 tax return, A. (plaintiff) declared the amount of CHF 14'677.45 as a taxable dividend from his participation in X. AG with its registered office in Germany. But he did not declare the dividends he received by X. AG on 14 May 2012 and on 8 November 2012, which were distributed to him from the company's tax deposit account.


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Cryptocurrencies and Taxes


Cryptocurrencies such as bitcoin, etherum or ripple are currently extremely fashionable and widely talked about. How these cryptocurrencies work can be rather difficult to understand, not to mention the tax implications of owning and using these new trend currencies.


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Is the US tax reform endangering Switzerland as a tax location?


US President Donald Trump has enforced the tax reform he had already announced during the electoral campaign. On 22 December 2017, he signed the bill called "Tax Cuts and Jobs Act", which was pushed through the Senate and the House of Representatives within a very short time. And thus the largest US tax reform since 1986 came into effect on 1 January 2018.


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