The partial revision of the value-added tax act adopted by the Swiss Parliament will enter into force on 1 January 2018. For the company’s compulsory tax liability, the company is no longer responsible only for sales in Germany, but for domestic and foreign sales. Companies generating a turnover of at least CHF 100,000 worldwide will be subject to VAT as of the first Swiss franc sales. Until now, foreign companies were able to deliver their services without VAT in Switzerland up to a turnover of 100,000 Swiss francs, which has led to competitive disadvantages for the domestic industry, particularly in the border regions.

A delay of one year results from the shipping trade regulation. This will not enter into force until January 1, 2019, because Swiss Post is taking more time to implement the law for technical reasons. As a result, mail-order companies will become tax-free from 2019, if they achieve at least a turnover of 100,000 Swiss francs per year with small tax receipts free of import duties. The shipping companies will charge the VAT themselves to their customers. This does not include the taxes and charges levied by customs on imports. This reduces the competition-related disadvantages of domestic companies.

The remaining renewals, reduced VAT rate for electronic newspapers, magazines and books, margin taxation for collectors and others – all come into effect on 1.1.2018 In general: anyone who is obliged to submit tax returns must register with the Swiss Tax Administration within 30 days of the date of the tax liability, and also appoint a fiscal representative, provide a guarantee (bank guarantee at a bank resident in Switzerland or cash in cash the account of the Swiss Tax Administration), as a rule, quarterly tax returns.

Source: The Federal Council of the Swiss Confederation, 2 June 2017 (German language).