Switzerland: Tax transparency reporting statistics and global minimum tax update
Statistics on tax transparency reporting and update on the implementation of a global minimum tax
Global minimum tax update
The KPMG member firm in Switzerland reported the following statistics on tax transparency reporting and an update on the implementation of a global minimum tax.
Tax transparency reporting statistics
A KPMG analysis of the 150 largest companies listed on the SIX Swiss Exchange shows that merely 19% of the companies publish tax transparency reports. However, numerous additional enterprises are expected to be subject to the EU’s public country-by-country (CbC) directive from 2025 onward, which will substantially increase the number of tax transparency reports published.
Global minimum tax update
The tax rates of 18 cantons are below the minimum corporate tax rate of 15% targeted by the Organisation for Economic Cooperation and Development (OECD). If these cantons or Switzerland neglect to raise their corporate tax rates to this threshold for the companies in question, the difference could be taxed in another country.
Given the ambitious timetable defined by the OECD and the G20 nations—with the first components of the minimum tax regulation already entering into force on 1 January 2023—Switzerland and its political system are facing a major challenge. The Federal Council has decided to implement the minimum tax by means of a constitutional amendment and to enact a temporary ordinance aimed at ensuring that the minimum tax can be rolled out on 1 January 2024. The electorate is scheduled to vote on the issue on 23 June 2023.
Read a May 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.