The Swiss Federal Tax Administration (SFTA) has published its practice on how foreign businesses are obliged to report their turnover. An English version of the respective VAT information brochure is also available.
- Foreign businesses registered for Swiss VAT purposes are no longer obliged to declare their worldwide turnover in its periodical Swiss VAT returns (box 200/221). The scope of turnover to be included in the Swiss VAT returns can be limited to the Swiss turnover only;
- There is a suggestion to report worldwide turnover in case VAT is exempt without credit turnover or / and donation are received;
- Whether turnover reconciliation can be limited to the Swiss turnover is not specifically mentioned. However, it seems coherent that if no worldwide turnover is reported, this should not become subject to the turnover reconciliation as well and foreign businesses may only need to reconcile the turnover generated on Swiss territory – cf. checklist provided by the SFTA;
- Foreign taxable businesses become taxable with their first local supply. In case of advanced payments, the obligation to register for Swiss VAT occurs with the issuance of the invoice or the receipt of the payment.
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