When to pay withholding taxes
Foreign empoyees living in Switzerland without a permanent residence permit C and without being married to a Swiss citizen or a holder of a permanent resident permit are taxed at source, i.e. a certain percentage of their wages is directly deducted and passed on to the tax authorities.
Compulsory tax return filing
In the following cases, a self-declaration with the ordinary Swiss Tax forms takes place:
- The gross annual salary exceeds the amount of CHF 120’000
- The taxable person receives the permanent resident permit C or marries a Swiss citizen or a person with a permanent resident permit
- For individuals taxed at source with income of less than CHF 120’000, ordinary taxation is carried out ex officio if the income not taxed at source (e.g. income from securities) exceeds CHF 3’000 or the total assets amount exceed CHF 80’000 for singles respectively 160’000 for married people.
Tax filing on request
In case your gross annual salary does not reach CHF 120’000 your are eligible to apply for an ordinary tax return filing. The deadline for this application is the 31.3. of the following tax year (e.g. 31.03.22 for the 2021 tax year). Any expenses such as contributions for your 2nd pension pilar or pilar 3a, educational costs, alimony payments etc. can be deducted with you tax return filing. Once your application is accepted, it cannot be changed. Therefore you should examine your situation carefully with a tax expert before your application.
Deductions for Expats
In case the tax office considers an employee as an Expatriate, the following costs can be deducted: The necessary travel expenses of the expatriate and his family at the beginning and end of the employment, eventually rental costs and schooling costs for children.
Tax Return Services
As a tax expert, I am happy to assist you in all your tax matters and to help you with your tax return forms.
Please ask for a quote or arrange a personal appointment for an initial meeting.