- The draft introduces a new E-Sport section in the Swiss VAT sports information, setting out first-time practice rules for electronic sports.
- It defines “sport” as activities centered on significant physical activity; competition alone is not enough.
- E-Sport events do not qualify as VAT-exempt sports events because they are not based on essential physical activity.
- Fees such as entry and registration charges for E-Sport events are taxable services if deemed supplied in Switzerland.
- Prize money received by E-Sport players is also treated as income from taxable services, and fully online E-Sport events are generally electronic services taxed under the recipient’s location principle.
Source: estv.admin.ch
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.
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