FINMA encourages trustees and portfolio managers to submit licence applications as soon as possible The Swiss Financial Market Supervisory Authority revealed that as of today only 180 out of around 2,400 portfolio managers and trustees have submitted a licence application required by the Financial Institutions Act (FinIA), which entered into force in January 2020. The...Read More

The Swiss FDEA releases data on lump-sum taxation The Contribution Division of the Federal department of Economic Affairs (FDEA) has released data  relating to those individuals that have chosen taxation according to worldwide living expenditure (also called lump-sum or global taxation) in Canton Ticino. This survey, carried out every two years, monitors the number of...Read More

Brazil issues the decree implementing the double taxation agreement with Switzerland On 9 June 2021, the Brazilian Government issued Decree No. 10,714/2, which concludes the ratification process of the double taxation treaty between Brazil and Switzerland. The new DTA, which will come into force from 1 January 2022, promotes economic relations between Brazil and Switzerland....Read More

Switzerland announces new succession law from 2023 At its meeting on 19 May 2021, the Federal Council decided to set the date for the implementation of the revision of Swiss succession law on 1 January 2023. The reform will alter substantially Switzerland’s forced-heirship laws, adapting it to the evolution of society and allowing for more...Read More

EU to re-assess tax information exchange agreements The European Data Protection Board (EDPB) asked EU Member States to re-assess their tax information exchange agreements (TIEA) with third countries in order to evaluate their compliance with taxpayers’ privacy rights and the General Data Protection Regulation (GDPR). This request follows concerns raised in Austria, France, Luxembourg and...Read More

IMF praises Switzerland’s response to the Covid-19 Pandemic Despite the difficulties posed by the Covid-19 Pandemic, Switzerland’s GDP, according to the latest data from the International Monetary Fund (IMF), is expected to grow 3.5% in 2021 and 2.8% in 2022. This thanks to its solid domestic economies, with particular reference to the competitiveness of its...Read More

DAC7 will require digital platforms to be more transparent EU Member States have recently amended the Directive on administrative cooperation in taxation. Such amendments will need to be adopted by 31 December 2022, and will enter into force starting 1 January 2023. Council Directive (EU) 2021/514 of 22 March 2021 (DAC7) extends automatic exchange of...Read More

Brazil ratifies DTA with Switzerland On 24 February 2021, the Brazilian Senate passed Bills Nos. 203, 650, and 667, to ratify the protocol for the elimination of double taxation and the prevention of tax evasion and avoidance between Brazil and Switzerland, Singapore and the UAE. Switzerland and Brazil had already signed the agreement in May...Read More

Switzerland: the canton of residence of the heirs will be responsible for the collection of inheritance tax The Federal Council, in the meeting of February 3, 2021, amended the ordinance on withholding tax, establishing that from January 1, 2022 the heirs will have to seek the refund of the withholding tax on income from succession...Read More

The UK seeks legislative freedom by withdrawing from DAC6’s disclosure provisions Following Brexit, the UK government has decided not to proceed with the implementation of the EU’s Council Directive (EU) 2018/822 (DAC6), which involves mandatory disclosure of cross-border tax planning schemes. With the new free trade agreement signed by the UK with the EU, both...Read More

EU remedies to the inefficiencies of its blacklisting system for tax havens The Members of the European Parliament (MEPs) recently adopted a resolution introducing changes in the system used to draw up the EU list of tax havens, which up to date was “confusing and ineffective”. The 2017’s list of tax havens drawn up by...Read More

US asks Switzerland to disclose FATCA non-compliers’ account details On December 1, the Swiss Fedral Tax Administration (SFTA) acting on behalf of the American Internal Revenue Service (IRS), asked twelve Swiss banks and one fiduciary to provide data on certain of their American account-holders, as required by the Foreign Account Tax Compliance Act (FATCA). The...Read More

FINMA to issue revised circular on “Video and online identification” Four years on from the publication of the circular on “Video and online identification” 2016/7, The Swiss Financial Markets Supervisory Authority (FINMA) is re-evaluating the regulation’s purposefulness in order to take into account the most recent technological advancements. The goal is to align the norm...Read More

Switzerland implements national strategy against cyber-risks The Federal Council Cyber Committee recently adopted the 2018-2022 report on the progress made in implementing the national strategy for the protection of Switzerland against cyber-risks (NCS). The  NCS specifies the strategic goals for protecting against cyber-risks and it covers the current implementation status of the plan.  As of...Read More

AEOI: The Swiss Federal Council adopts new Ordinance Following the assessment of the Global Forum on Transparency and Exchange of Information for Tax Purposes on the implementation in Switzerland of the standard for the international automatic exchange of information in tax matters (AEOI standard), on November 11 2020, the Swiss Federal Council approved the amended...Read More

Ombudsman affiliation requirement: new limitations On 25 September 2020, Parliament adopted the Federal Act on the Adaptation of Federal Law to Developments in Distributed Ledger Technology (DLT bill), with the aim to keep Switzerland a leading, innovative and sustainable location in the blockchain and DLT sector. As part of the parliamentary deliberations on the DLT,...Read More

FINMA issuing regulation implementing FinSA and FinIA The Financial Market Supervisory Authority (FINMA) recently held a consultation with the aim to issue regulation implementing the Financial Services Act FinSA and the Financial Institutions Act FinIA. The consultation’s outcome is the following: FINMA will make adjustments to the existing ordinances and circulars; It will issue a...Read More

AML at the centre of FATF’s new exploratory projects The Financial Action Task Force (FATF) has initiated new exploratory projects which will take the form of questionnaires, seeking solutions and best practices in response to the increasing risk of money laundering in the technological sector. The first study is called “Opportunities and Challenges of New...Read More

End of preparatory works for FinIA and FinSA The Federal Financial Market Supervisory Authority (FINMA) has conferred upon the Swiss Supervisory Limited Company AOOS the authorization as a fifth supervisory organisations (SO), also recognizing it as a self-regulatory organization (SRO) under the Anti Money Laundering Act (AMLA). The set-up phase involving the institutional prerequisites for...Read More

Swiss Parliament approves final draft of New Data Protection Act On 25 September 2020, the Swiss Parliament approved the final draft of the revised Data Protection Act (rev-DPA), with the aim to modernise its data protection laws and align it to the latest EU General Data Protection Regulation (GDPR). The rev-DPA could still be subject...Read More

Outlook after the Swiss tax reform: Zug defends top spot Credit Suisse has announced the release of its Locational Quality Indicator annual study for 2020 that looks into the locational quality of Swiss cantons and regions. The annual Locational Quality Indicator (LQI) was developed in order to measure the attractiveness of the Swiss regions and...Read More

FINcontrol Suisse is the fourth supervisory body authorised by FINMA On September 29, 2020, the Financial Market Supervisory Authority (FINMA) granted the authorization to FINcontrol Suisse SA to operate as a supervisory organisation in the regulatory framework of FinIA and FinSA. The company is based in Zug and is the fourth authorised body, following the...Read More

The Swiss Parliament revises law on stock corporations On June 19, 2020, the Swiss Parliament approved the revision of the Swiss law on stock corporations (Company Law), which aimed at introducing simplifications (such as new provisions for the use of technology in support of general meetings) while allowing for greater flexibility and protection of specific...Read More

Switzerland declares Privacy Shield with USA non-compliant In light of the recent case law of the European Court of Justice (ECJ) on the protection of personal data in the context of the Privacy Shield between the US and the EU, Switzerland has been reassessing the conformity of the Privacy Shield to the Federal Act on...Read More

Taxes payable by cryptocurrency make Switzerland a leader in the implementation of crypto assets Thanks to its collaboration with Bitcoin Swiss, Canton Zug announced that it will accept tax payments by Bitcoin and Ether (for both companies and private individuals) up to an amount of CHF 100.000, starting from February 2021, becoming the first Swiss...Read More

Blockchain and distributed ledger technology: no repercussions for tax law Berna, 19.06.2020 – Nella sua seduta del 19 giugno 2020 il Consiglio federale ha preso atto del rapporto relativo a un’eventuale necessità di adeguamento della legislazione fiscale nel settore della blockchain. Il rapporto conclude che non occorre apportare particolari modifiche alla legislazione fiscale. L’ordinamento giuridico...Read More

    IRS to delay US tax filing IR-2020-66, April 9, 2020 WASHINGTON — To help taxpayers, the Department of Treasury and the Internal Revenue Service announced today that Notice 2020-23 (PDF) extends additional key tax deadlines for individuals and businesses. Last month, the IRS announced that taxpayers generally have until July 15, 2020, to file...Read More

      Global Forum: Switzerland scores well Bern, 06.04.2020 – The Global Forum on Transparency and Exchange of Information for Tax Purposes (Global Forum) has also rated Switzerland as largely compliant in the second round of peer reviews on the exchange of information upon request. The report was published on 6 April 2020. It noted significant improvements,...Read More

      Widespread success of minimum BEPS standards Thanks to the OECD’s treaty-shopping prevention rules, most of Inclusive Frameworks jurisdictions have now agreed to eliminate double taxation, non-taxation or reduced taxation opportunities. At the same time such jurisdictions will prevent  businesses and investors to benefit under tax treaties through the implementation of anti-abuse provisions....Read More

      COVID-19: Information for companies and individuals Information by Swiss federal government Health and safety Overview: New coronavirus Current situation – Switzerland and international Federal government measures Coronavirus Infoline (24/7): +41 58 463 00 00 (Please note: This Infoline does not provide medical advice. Due to the high volume of calls you may experience delays...Read More

          Taxation of digital economy: Swiss response to recent OECD statement   Introduction Digitalisation is changing the way businesses operate and new business models have become a growing challenge for existing international tax systems. Under the Base Erosion and Profit Shifting (BEPS) project, the Organisation for Economic Cooperation and Development (OECD)...Read More

        EU lists Cayman Islands, Panama as tax havens, spares Turkey BRUSSELS (Reuters) – European Union finance ministers added Panama, the Seychelles, the Cayman Islands and Palau to the EU’s blacklist of tax havens, while giving Turkey more time to avoid being listed, an EU document said on Tuesday. The list, which...Read More

      Financial Action Task Force (FATF): Switzerland has strengthened its AML measures   Paris, 13 February 2020 – Since the 2016 assessment of Switzerland’s measures to tackle money laundering and terrorist financing, the country has taken a number of actions to strengthen its framework. Switzerland has been in an enhanced follow-up process following...Read More

6 Feb 2020 The Tax Information Exchange Agreement (TIEA) between Singapore and the United States of America, signed on 13 November 2018, will enter into force on 5 March 2020. The TIEA will permit Singapore and the United States of America to exchange information for tax purposes. This enhances tax cooperation between the two countries....Read More

FINMA implementing small banks regime The Swiss Financial Market Supervisory Authority FINMA is implementing the small banks regime at circular level as of 1 January 2020: small, particularly liquid and well capitalised banks are to be exempted from certain regulatory requirements. FINMA is adjusting eight FINMA circulars for this purpose. Following a pilot phase lasting...Read More

        Federal Council adopts dispatch on amending AEOI Act Bern, 20.11.2019 – During its meeting on 20 November 2019, the Federal Council adopted the dispatch on amending the Federal Act on the International Automatic Exchange of Information in Tax Matters (AEOIA). The aim of the proposal is to implement the recommendations of the Global Forum...Read More

TRAF implementation: ordinances enter into force on 1 January 2020 Bern, 13.11.2019 – During its meeting on 13 November 2019, the Federal Council approved three ordinances to the Federal Act on Tax Reform and AHV Financing (TRAF). These amendments concerning the tax component will enter into force on 1 January 2020. The Ordinance on the Reduced Taxation of...Read More

        Federal Council adopts dispatches on amendment of double taxation agreements with New Zealand, Netherlands, Norway and Sweden Bern, 06.11.2019 – During its meeting on 6 November 2019, the Federal Council adopted the protocols of amendment to the double taxation agreements (DTA) with New Zealand, the Netherlands, Norway and Sweden. The protocols implement the minimum...Read More

    Federal Council brings FinSA and FinIA into force Bern, 06.11.2019 – During its meeting on 6 November 2019, the Federal Council brought the Financial Services Act (FinSA) and the Financial Institutions Act (FinIA) – together with the implementing ordinances – into force as at 1 January 2020. Transitional periods of two years are provided for in...Read More

            Federal Council adopts dispatch on amendments to double taxation agreement with Iran Bern, 23.10.2019 – During its meeting on 23 October 2019, the Federal Council adopted the dispatch on the protocol of amendment to the agreement with Iran for the avoidance of double taxation with respect to taxes on income and capital...Read More

        EU removes Switzerland from tax haven lists Switzerland has acknowledged the fact that European Union will remove the country from its grey list for tax havens following a reform of the corporate tax system. “Switzerland meets and implements international tax standards. The European Union has acknowledged this…” said a statement,external link released by the State Secretariat for International Finance (SIF),...Read More

      Switzerland suspends AEOI with Bulgaria During its meeting on 20 September 2019, the Federal Council decided to immediately suspend the automatic exchange of financial account information (AEOI) with Bulgaria due to a problem with the country’s data security. The systems and databases of Swiss tax administrations and financial institutions are not affected...Read More

      Protocol of amendment to double taxation agreement (DTA) between Switzerland and United States of America enters into force Bern, 20.09.2019 – On 20 September 2019 in Bern, Switzerland and the United States of America exchanged the instruments of ratification of the protocol of amendment to their double taxation agreement in the area of taxes on...Read More

The Swiss Data Protection Commissioner has issued a legal complaint against the Finance Ministry for sending the names of bank employees, lawyers, accountants and other third parties to the United States to assist with tax evasion investigations. The Swiss Supreme Court has already issued a ruling that bans the indiscriminate disclosure of people’s names without...Read More

Third party actors, such a bank employees, lawyers and accountants, should not be named when Switzerland hands over tax data to other countries, the Swiss federal administrative court has ruled. The verdict upholds a complaint from the Swiss data commissioner’s office against a finance ministry decision to include the names of such professionals. People who...Read More

Neobank, the German online bank, has launched its presence in Switzerland. Here is, what the company expects to achieve in the heart of European banking. Georg Hauer, general manager at smartphone-bank N26 and responsible for the German, Austrian and Swiss regions, wants to get Swiss customers fall in love with his banking services – they...Read More

BY : DION BISARA & NOVY LUMANAUW JUNE 20, 2019 Jakarta. The government is prioritizing revisions to the corporate income tax law, seeking to cut the tax rate from 25 percent to 20 percent to attract more investment, Finance Minister Sri Mulyani Indrawati said on Wednesday. “We’re working out how quick [this new policy] can be implemented and how much...Read More

The Indian government signed 26 advance pricing agreements (APAs) in the first quarter of the 2019 financial year, according to a government release. Multinational companies negotiate APAs with the Indian government to lock in their tax rates for moving money out of their Indian operations. An executed APA is designed to avoid the notoriously long...Read More

OECD, 30 August 2019 – The information technology system of the National Revenue Agency (NRA) of Bulgaria was hacked and a significant amount of its data was provided to the media on 15 July 2019. Bulgaria subsequently confirmed that this data was from NRA systems and that it included data automatically exchanged with international treaty...Read More

BRUSSELS  I  AUGUST 2019   1. France & US Reach Compromise on Digital Tax Dispute at G7 Meeting   At the G7 Summit taking place in Biarritz from 24 to 26 August, an agreement has reportedly been reached between the US and France concerning the recently introduced French digital tax. The French bill on digital...Read More