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4% automobile tax for electric vehicles

The Swiss Federal Council has decided that the importation of electricvehicles into Switzerland will attract 4% vehicle tax as of 1/1/24. Will prices rise? The 4% also apply to over-the-air add-ons and subscriptions for the first year!

An adjustment to Coreper means that importers and manufacturers of electric vehicles will now also be subject to the 4% automobile tax. The tax exemptions for electric vehicles will be repealed on January 1, 2024. Importers or manufacturers of electric vehicles will now have to factor in the 4% automobile tax and deal with issues surrounding the declaration. The declaration of automobile tax depends on whether the vehicle is imported or manufactured in Switzerland. The assessment basis for the tax is similar to that of VAT. Additional demands for the tax may arise if there are changes in the price of the vehicle within a year, such as activation of additional functions or transfer price adjustments.

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