TAXATION IN SWITZERLAND

 

 

Switzerland is cosidered to be a tax haven for some categories of residents and certain types of companies. However, for the Swiss citizens it is not true, though the Swiss taxation system is not similar to the fiscal sharing used in Scandinavian states or Italy.
 
The Ticino is between the three Cantons in which the taxes to pay are low. If in Switzerland the mean load is 100 francs, in Ticino it is  71,7. In 2002 it was 83,2.
 
Natural person taxes
Switzerland is one of the best places in the world from the fiscal point of view for the people who live there on the interest of their investment, despite the allocation of the capital as shares, securities or investments. Usually such persons are welcome in Switzerland, and the only tax that should be paid is a fixed global tax which is similar to the rents that they pay in Switzerland irrespective of their real income. Many outstanding sportsmen, movie-stars and businessmen already make use of this unique opportunity. Switzerland provides for the chance to live in the centre of Europe, which allows them to get use of all benefits guaranteed by this secure and well-being country and to protect their income from exorbitant taxation with any relevant service ensured.
 
Proficient taxes/ taxes on the companies

The ordinary Swiss companies pay taxes to variable shares, depending on their activity and location. In certain circumstances, the Swiss companies can pay really low taxes, usually amounting 9 % of the yield. This is applied, first of all to the multinational holding and business companies which concentrate their activity beyond Switzerland; however, they have the legal seat in preferred tax cantons which provide for the tax discount. For example, the Ticino is the thirth among the other Swiss cantons (from the fiscal point of view) and represents a beneficial opportunity to the foreign investor. The canton Geneva, takes the last place among all 23 cantons that compose Switzerland. One should remember that Switzerland is one Federal State, like Germany and the United States of America.
 
TOTAL INDEX OF THE FISCAL CARGO
Average Switzerland  = 100
Rank Cantons Individual Legal Person Circulation Total 2003 Total 2002
1 Zug 49.8 54.0 82.1 52.3 50.7
2 Schwiz 65.5 49.0 95.7 64.5 62.8
3 Ticino 63.3 93.4 92.2 71.7 85.2
4 Nidwalden 77.5 73.6 81.2 77.0 75.9
5 Aargau 81.3 110.3 74.3 84.6 82.3
6 Zürich 85.6 106.3 95.9 90.0 89.9
7 Geneva 82.8 130.2 78.8 93.1 91.8
8 Appenzell Innerrhoden 101.1 65.5 96.4 96.5 94.2
9 Basel country 94.6 116.8 110.6 98.2 95.6
10

Thurgau

 103.1 97.7 70.1 101.4 101.4
11

Vaud

 100.0 109.8 129.9 102.7 111.9
12 S. Gallen 105.3 101.7 103.4 104.7 100.9
13 Appenzell Ausserrhoden 113.6 78.4 115.3 110.3 108.1
14 Schaffhausen 120.4 87.4 64.8 114.4 112.8
15 Bern 115.3 92.2 136.9 114.4 112.0
16 Graubünden 107.0 141.7 135.5 114.9 110.8
17 Solothurn 117.9 111.4 88.1 115.9 112.6
18 Glarus 117.7 115.6 101.8 116.6 111.5
19 Basel city 115.3 122.2 106.9 116.8 119.2
20 Luzern 128.1 99.8 95.3 124.3 124.4
21 Neuchâtel 131.5 118.1 99.1 128.2 125.6
22 Wallis 141.3 116.1 53.3 135.6 129.9
23 Freiburg 139.7 115.2 107.3 135.7 132.7
24 Jura 139.4 114.1 125.2 135.9 130.5
25 Uri 144.3 118.7 80.3 137.9 133.1
26

Obwalden

 149.5 103.3 89.4 143.1 144.4

 
To determine the position of the Ticino one should keep in mind that it has the low level of imposition applied to the natural persons, taking the fifth place in the average. While in the rest of the confederation the taxes amount is 100 franc, in the Ticino it is less than 81. In reality, in Ticino the taxes are within 20 % regarding the Swiss average.
 
Since 2003 with the lowering of another half point of the aliquot on the capital (the 1.5 for thousands) and the sequential abolishment of the stamp-duty it would have to contribute to further lowering of the average fiscal pressure on the legal person.