2024 increase of the Swiss VAT rates. Furthermore, a new e-filing portal is in place in Switzerland since November 2022.
New Swiss VAT rates and e-filing portal
The world of VAT is always changing and we are happy to update you on 2 new changes regarding VAT in Switzerland.
The first part discusses the amendment of the Swiss VAT rates.
The second part describes the updates to the Swiss e-filing portal used for tax purposes.
Increase of the Swiss VAT rates
A Swiss public referendum took place on 25 September 2022. With a majority of 55.07%, the amendment of the AHV (Federal Old Age and Survivors' Insurance) law as well as the federal decree on the additional financing of the AHV through an increase in VAT were accepted. As a result, the Swiss standard VAT rate will be raised from 7.7% to 8.1%. The special rate for accommodation will increase from 3.7% to 3.8% and the reduced rate will become 2.6% instead of 2.5%.
| As of 1.1.2021 | Adjustment | Adjusted rates | |
|---|---|---|---|
| Standard rate | 7.7% | + 0.4% | 8.1% |
| Reduced rate | 2.5% | + 0.1% | 2.6% |
| Special rate for accommodation | 3.7% | + 0.1% | 3.8% |
It is planned (but not yet certain) for the new VAT rates to come into force on 1 January 2024. The Swiss Federal Council is expected to decide on this in December 2022.
Companies operating in Switzerland should follow this development closely, to ensure they have enough lead time to implement the VAT rate changes in their business processes and ERP. We will of course keep you informed of any further developments in this respect when the time arises.
From “ESTV SuisseTax” to “ePortal”
On a separate note, the Swiss Federal Tax Authority is planning to replace its longstanding online platform “ESTV SuisseTax” with the online platform “ePortal” at the beginning of November 2022. The aim is to centralize more services in one single portal.
The current applications of ESTV SuisseTax will soon be made available in ePortal. The good news is that the conversion from ESTV SuisseTax to ePortal takes place without additional effort for the users, as you will be automatically forwarded to the ePortal as soon as the transition is complete.
As such the ePortal would centralize the following tax topics:
- VAT declarations: the functionalities to prepare and submit VAT declarations of ESTV SuisseTax will be made available in the ePortal. The historic VAT declarations previously submitted via ESTV SuisseTax will be migrated and also made available in the new ePortal platform.
- VAT return easy: this lighter platform to prepare and file VAT returns will also be available on the ePortal. Find more about this functionality in our other blog here.
- VAT certificate: similar as currently available in ESTV SuisseTax, you’ll be able to request for company and registration certificates online.
- Domestic withholding tax: an online process concerning withholding tax replacing forms F103, F110 and 25 will be introduced. The paper forms will continue to be valid during a transitional period.
- Radio TV company fee: the handling of radio and television tax will be done online on ePortal, as currently done in ESTV SuisseTax.
- myESTV: the portal will also allow you to manage all authorizations in one place. The existing data and authorizations from ESTV SuisseTax will be migrated accordingly.
Although the Swiss Federal Tax Authority aims to have a smooth transition that doesn’t require any additional effort from the users (i.e. the tax payers), questions or technical issues may still arise. Our KPMG colleagues are here to help so please feel free to reach out to us.