For 2023 tax returns the official FTA exchange rates are: Income Wealth USD 1 = CHF 0.89880159 CHF 0.841624 EUR 1 = CHF 0.97165064 CHF 0.929700 GBP 1 = CHF 1.11706498 CHF 1.072875 Official foreign exchange rates as of 31 December 2023 are available here. In this list are also included rates to […]
In order to help finance the Swiss retirement system VAT rates are increasing from 1 January 2024. From a Swiss accounting perspective this entails certain points that need to be considered for entities that charge Swiss VAT. It will be important to consider whether the old or the new rate will need to be charged […]
In general, any Swiss entity that sells VAT-able goods or services for at least CHF 100,000 per annum is subject to VAT. When starting a business it is important to try to establish if the turnover for the first year is likely to be above that figure. Furthermore, if the turnover for the first three […]
An unusual aspect of Swiss Company accounting is the requirement to constitute a General Reserve (or Legal Reserve) from prior year profits. The Legal Reserve is different from other provisions and reserves in that it is a legal requirement to build up reserves in a company following a period of profitable trading. The General Reserve […]
For 2022 tax returns the official FTA exchange rates are: Income Wealth USD 1 = CHF 0.95497047 CHF 0.925228 EUR 1 = CHF 1.00481626 CHF 0.987450 GBP 1 = CHF 1.1791102 CHF 1.112933 Official foreign exchange rates as of 31 December 2022 are available here. In this list are also included rates to […]
Depending on certain criteria Swiss companies are required to appoint an an accredited Swiss auditor. Criteria to Avoid an AuditCompanies which employ on average fewer than 10 full time employees during the year can forego the audit of their accounts if the shareholders (or associates) agree to this (art. 727a Swiss Code of Obligations). Criteria […]
Personal taxes for Foreigners in Switzerland are quite complicated and depend on how long the taxable person has resided in Switzerland for (whether they then have a “B”, “L” or “C” permit), which Canton they are working and residing in, or if they live in a neighbouring country and work in Switzerland every working day, […]
A “B” permit gives a five year residency permit and is normally granted to EU citizens. It is granted to people who demonstrate that they have a work contract lasting at least 5 years, and is thereafter extended if the foreigner fulfils the necessary criteria. The first extension can be limited to a year if […]
For 2021 tax returns the official FTA exchange rates are: Income Wealth USD 1 = CHF 0.9143082 CHF 0.911141 EUR 1 = CHF 1.08101082 CHF 1.036150 GBP 1 = CHF 1.25746523 CHF 1.234099 Official foreign exchange rates as of 31 December 2021 are available here. In this list are also included rates to […]
Accounting for VAT can take many forms. Here we make the distinction between The Standard Method and the Net-Rate Tax Method. Standard Method for VAT Can be used by all businesses operating in Switzerland. Any business with a taxable turnover exceeding CHF 100,000 per annum is required to register for VAT (this excludes for instance […]