- Swiss electorate approved increase in Swiss VAT rates as part of OASI/AHV 21 reform
- VAT rates in Switzerland will be raised as of 1/01/2024
- Net tax rates and flat-rate tax rates will also be updated
- VAT liability is determined by the time of service, not invoicing or receipt of payment
- Services provided before 1/01/2024 are taxable under previous rates, while services after 31/12/2023 are subject to new rates
- Services provided across different accounting periods must be divided and settled with current and new tax rates
- Companies have the option to account for sales to the Swiss Federal Tax Administration using both previous and new rates for the 3rd quarter of 2023 or second semester of 2023
- Detailed information can be found in MWST-Info 19 (VAT Info 19)
- Companies should prepare an action plan to ensure timely adjustment of ERP systems, invoicing, and employee training for new VAT rates.
Source: lexology.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
