Investor tax reporting services
Swiss private investors have to declare their taxable income and the value of the investment in their tax return. It is the market practice to provide income tax figures to Swiss private investors to protect them from prohibitive income taxation.
Swiss Tax
Key Features
Up-front registration |
❌ |
| Taxation mechanism | Income based |
Annual reporting |
✅ |
Deadline of the reporting |
❌ |
Main features
In Switzerland, private investors are taxable on their net ordinary income. Capital gains are exempted. Swiss tax reporting is not an obligation but is a strong market practice. Swiss private investors may suffer higher taxation in case they do not provide the taxable income figure as the taxable income will be estimated based on the NAV evolution. In this respect, asset managers must provide Swiss individuals (for the preparation of their annual tax return) with the Swiss income tax values. It enables private investors to distinguish the tax-exempt portion (i.e. capital gains/certain income) of their investments from the taxable portion (i.e. interest and dividends).
There is no legal deadline for filing the income tax values. However, we recommend publishing income tax values by April/May of the year following the fiscal year end of the entities as Swiss private investors are generally starting with the preparation of their tax returns at that time.
The income tax values are calculated annually and submitted to the Swiss Federal Tax Administration (Eidgenössische Steuerverwaltung - ESTV). The ESTV publishes the tax values on its annual official rates list ("Kursliste"). In order to list the share classes to the Swiss SFTA website, asset managers must obtain a valor number, which is a local unique identifier per share class (to be requested to SIX Securities Services AG).
Benefits of the regime
Swiss private investors may suffer higher taxation in case the fund is not reporting the Swiss tax figures annually.
Scope of services
Complex target fund, fund of funds and REITs analysis for full tax transparency rules;
Calculation or review of annual publications;
Reporting to Swiss regulator;
Regulatory watch on tax and fund reporting;
Consultancy and fund structuring.
Related content
Contact us
Christian Heinz
Tax Partner, Global Tax Compliance Leader, PwC Luxembourg
Tel: +352 621 33 2247
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