Switzerland: Reminder to claim VAT refund for 2021 before June 2022 deadline
The deadline for filing a VAT refund claim is 30 June 2022, and cannot be extended.
The deadline for filing a VAT refund claim is 30 June 2022, and cannot be extended.
Businesses without a Swiss establishment and not registered for value added tax (VAT) purposes in Switzerland have until the end of June 2022 to file their refund claim for Swiss VAT incurred in 2021.
The deadline for filing a VAT refund claim is 30 June 2022, and cannot be extended.
Summary
Many businesses without an establishment or VAT registration in Switzerland often incur Swiss VAT on business expenses (e.g., travel and lodging expenses, purchases of goods in Switzerland or import VAT when importing goods into Switzerland). On an annual basis, this can result in a significant amount of Swiss VAT incurred by the business.
This VAT may not be an unrecoverable cost because in principle it can be claimed from the Swiss tax authorities. If a company incurs at least CHF 500 Swiss of VAT over the course of 2021, this amount of VAT can be refunded if a refund claim is filed before the end of June 2022, provided the business’ country of residence grants reciprocal rights to Swiss companies. Foreign companies are required to appoint a Switzerland-based fiscal representative to file such a refund request.
New this year is that Switzerland has adapted reciprocal right with regard to Austria's new VAT rules. Thus, companies from third countries (also Switzerland) are excluded from claiming a refund of VAT when purchasing fuels in Austria for invoices from 2021 and later. Consequently, Austrian companies will no longer be able to claim a refund of Swiss VAT incurred on the purchase of fuels in Switzerland.
Read a March 2022 report prepared by the KPMG member firm in Switzerland
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.