SELF-DENUNCIAION AND PENALTY TAX PROCEEDINGS
We provide assistance with the disclosure of undeclared income or capital assets with a voluntary declaration (self-denunciation) as well as support during or with an impending penalty tax proceeding. The Swiss tax offences include tax evasion and tax fraud.
They also apply with taxation of company sale or if the company wishes to receive individual documents.
TAXATION OBJECTIONS AND APPEALS
Objections to tax assessments can be made within 30 days of receiving them.
An administrative can be filed at the Tax Appeals Committee.The Tax Appeals Committee’s decision can be appealed at the cantonal Administrative Court.
The following tax treaties with individual states or the European Union are essential for taxpayers:
- Automatic information exchange (AIA)
- FACTA II (only US citizens)
- Double tax agreements with or without administrative assistance
For individuals resident in Switzerland, Swiss bank confidentiality is not effected by the implementation of the new global standards of the automatic information exchange (AIA). However, tax fraud and serious tax evasion make it possible to repeal bank confidentiality.
All Swiss taxpayers with accounts, real estate, investments or pensions abroad, which have not been declared in Switzerland, should consult a tax expert. In most cases a voluntary declaration (self-denunciation) is advisable, as early as in 2017 to avoid high fines additionally to regular tax payments.
In suspicious cases, it is possible for the tax authorities can to make inquiries, which can result in a voluntary declaration with impunity.
We will gladly assist you in resolving your uncertainties or tax issues regarding undeclared income and/or financial assets.
AUTOMATIC INFORMATION EXCHANGE (AIA)
The Following information is transferred:
- Name and address
- The investor‘s date and place of birth
- Tax identification number (TIN: participant identification number)
- Interest and dividends
- Income from specific insurance contracts
- Account balances and revenue from selling financial assets
The Swiss Tax Administration (EStV) is responsible for the execution of the automatic information exchange (AIA). All the states with major centres for finance have introduced the automatic information exchange.
DOUBLE TAXATION AGREEMENTS (DBA)
The Swiss legislation requires you to declare your universal income and assets in Switzerland. Switzerland has contracted more than 100 double taxation agreements with other countries. .
If foreign income or assets are not declared in Switzerland and this is discovered, the tax authorities will initiate criminal proceedings for tax evasion or tax fraud.
The double taxation agreement with the USA has not been enforced as of 31.08.2017 and it is doubtful whether this agreement will be put into effect under the new government. The USA profit from their own tax havens, especially as the Europeans and South Americans have a lack of tax evasion possibilities in Switzerland, Luxembourg, Austria and Belgium.