Liability · foreign company

Is your foreign company liable for Swiss VAT ?

In principle yes, from CHF 100,000 of worldwide turnover, if you make a taxable supply in Switzerland. Check your case in two minutes.

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CHF 100,000 thresholdWorldwide turnover8.1% rate

Are you liable? Check with a few questions.

01Where is your company's seat?
02Do you have a permanent establishment in Switzerland (office, warehouse, branch, building site > 12 months)?
03Your activity in Switzerland?

Indicative, based on your answers.

The threshold is calculated on your worldwide turnover.

Since the 2018 reform, it is no longer only your Swiss turnover that counts: your entire worldwide turnover is taken into account. As soon as it exceeds CHF 100,000 and you make a taxable supply in Switzerland, liability becomes mandatory.

✗ False“ The threshold is rising to CHF 150,000. ”
✓ CorrectThe threshold stays at CHF 100,000, no increase is planned.
✗ False“ Only my Swiss turnover counts. ”
✓ CorrectIt has been worldwide turnover since 2018.
Retroactive assessment

Retroactive registration and taxation over the undeclared periods.

Late-payment interest

4.0 % per year since 1 January 2026 (4.5 % in 2025; pro rata where periods overlap), due from the 61st day after the end of the period (art. 86 para. 1 LTVA).

Criminal risk

Tax evasion and breach of procedural obligations are subject to criminal penalties (Title 6 LTVA).

Certain cases exempt you from registration — strictly:

Services to businesses

If you supply exclusively services to Swiss business customers, it is the customer who self-assesses the VAT (art. 10 para. 2 let. b LTVA).

Goods imported by the customer

Where the Swiss customer imports the goods in their own name, it is they who declare the acquisition tax.

Below the threshold

As long as your worldwide turnover stays below CHF 100,000, mandatory liability does not apply.

Not to be confused — Digital services (SaaS, content, streaming) supplied to individuals in Switzerland do not exempt you: on the contrary, this is precisely the case that triggers liability.

Frequently asked questions

Is the CHF 100,000 threshold calculated on my Swiss or worldwide turnover? +

On worldwide turnover, since the 2018 reform, as soon as a taxable supply is made in Switzerland.

I sell very little in Switzerland — am I still concerned? +

Yes, if your worldwide turnover exceeds the threshold. A low Swiss volume does not exempt you from the obligation.

Is the threshold being raised to CHF 150,000? +

No. It remains set at CHF 100,000, no change is planned.

What does my company risk if it does not register on time? +

A retroactive assessment together with late-payment interest (4.0 % per year since 2026), or even criminal penalties in the event of tax evasion.

What are the Swiss VAT rates?

The standard rate is 8.1 %. A reduced rate of 2.6 % applies to basic necessities, and a special rate of 3.8 % to accommodation.

Can I recover the VAT paid on my purchases in Switzerland?

Yes. Once liable, you deduct the VAT paid on your Swiss purchases and expenses from the VAT you collect (input tax deduction).

Fiscal representative, agent, fiduciary: what is the difference?

In Switzerland, the legal term is fiscal representative (art. 67 LTVA). “Tax agent” is a common term in the EU.

Is voluntary liability possible below the threshold?

Yes, notably to recover the VAT paid on Swiss purchases.

Register for Swiss VAT

Start your Swiss VAT registration now.

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