The Federal Council, after consultation with the OECD and the G20, has finally decided to introduce a minimum tax rate for certain companies. To do this, an amendment to the Constitution will be made. Thus, the minimum tax rate will come into force on January 1, 2024.
137 countries have agreed on a minimum tax rate of 15% for multinational companies with a turnover of more than 750 million euros. “The incorporation of a minimum tax rate into Swiss law ensures that large companies do not get involved in foreign proceedings. Furthermore, Switzerland should not forgo any tax receipts to which it is entitled to,” explains the Federal Council.
With the participation of Parliament, the cantons, and the people (referendum), a new constitutional framework will be created to provide legal certainty for companies. That is, the amendment to Swiss legislation will be carried out with a sense of proportion and an emphasis on an attractive place for business.
The confederation, the cantons, the cities, and the communes will cooperate closely in the implementation of this proposal. Among other things, the Federal Department of Finance has created a political advisory body in which all three levels of government are represented.
What else does Switzerland offer to foreign investors? Opportunity to obtain residency. According to the Swiss immigration legislation, foreign citizens including their immediate family members (spouse and children) may apply for a temporary residence permit in Switzerland through an agreement concluded with the Tax Administration of the Swiss cantons (for nonEU-EFTA nationals): lump-sum taxation; or though company incorporation.
Learn more about Switzerland Residency by Investment program
Source: admin.ch
