VAT refunds: everything you need to know
In Switzerland, foreign businesses and individuals can claim a refund of Swiss VAT paid on goods and services purchased in Switzerland.
Here are some important things to know about the Swiss VAT refund:
- Conditions for claiming the refund: Foreign companies and individuals must have paid VAT on goods and services in Switzerland and not have a registered office or permanent establishment in Switzerland;
- Furthermore, the purchases must be related to economic activities carried out abroad and must not be used in Switzerland.
How to apply for a refund ?
- Refund applications must be submitted via the electronic Swiss VAT refund system, available on the website of the Federal Tax Administration (FTA). Applications must be submitted by 30 June of the year following the year in which the VAT was paid;
- VAT rates in Switzerland: The standard Swiss VAT rate is 7.7%, but there are also reduced rates of 2.5% and 3.7% for certain goods and services.
It is important to note that the tax rules for VAT refunds can be complex and vary according to individual circumstances. It is therefore advisable to consult a tax advisor or accountant for precise information on VAT refunds in Switzerland, depending on your personal situation.