- Swiss Federal Tax Administration opened a consultation on draft VAT practical guidelines on input tax deduction.
- Topics covered include:
- Standard VAT rate of 8.1 percent, reduced VAT rate of 2.6 percent, and special VAT rate of 3.8 percent, effective Jan. 1, 2024.
- Basics of input tax deduction, including purchase tax, import tax, domestic tax, fictitious input tax, and conditions for input tax deduction.
- Exclusion of the right to deduct input tax and reduction of the input tax deduction, including input tax deduction for services exempted from tax.
- Input tax corrections, calculation methods, billing methods, and group taxation.
- Scope of tax liability, tax object, determination of the value of services, tax assessment, and tax rates.
- Specific scenarios where input tax deduction is permissible or excluded, providing detailed guidelines and practical examples.
- Comments are due March 24.
Source: news.bloombergtax.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.
