Swiss legislation includes the criminal offence of tax evasion. Where the taxpayer fails to declare income and/or assets. Tax evasion occurs when the taxpayer is being dishonest about his/her income or assets. “Forgotten” to declare an income worth millions is tax evasion.
Specialists from tax authorities must conduct their inspections, but cannot use methods such as house searches, arrests or breaking bank confidentiality. The taxpayer’s obligation to provide information to the tax authorities is very important.
Regular criminal proceedings are initiated in cases of fraud or where large amounts of money are involved.
Due to the double taxation agreements with administrative assistance and the automatic information exchange, the Swiss tax authorities receive tax-related data and information concerning income and assets of nationals from foreign countries.