English translation of Article 54 of the Swiss VAT Act 2010

This page contains an English translation of the below Article of the revised Swiss VATA 2010 and is part of a web based Swiss VATA 2010 commentary published in German. Should you require qualified written legal advice on cross-border transactions potentially triggering Swiss VAT  from a Swiss VAT lawyer please do not hesitate to contact: Harun Can

Article 54 of the Swiss VAT Act 2010

Calculation of the tax 
  1. The tax is calculated: 
    a. on the consideration received, where goods are imported in fulfilment of a sales or commission transaction;
    b. on the consideration received for supplies of goods under work and labour contracts or for work within the meaning of Article 3(d)(2) using goods released for free circulation (Article 48 CustA) and completed by a person not registered     on Swiss territory as a taxable person;
    c. on the consideration received for work carried out abroad on behalf of artists and sculptors on their own works of art (Article 3 let. (d) no. (2)), provided that these were brought onto Swiss territory by them or on their behalf; 
    d. on the consideration for the use of goods imported for temporary admission under Articles 9 and 58 CustA, provided the amount of tax due on the consideration is substantial; where no or reduced consideration is demanded for               temporary use, the consideration that would be charged by an independent third party will be used to assess the VAT payable; 
    e. on consideration received for work carried out abroad on goods (Article 3(d)(2)) exported under Articles 9 and 58 CustA for temporary admission or under Articles 13 and 60 CustA for outward job processing under a work and labour         contract which are returned to the consignor on Swiss territory;
    f. on the consideration received for work carried out abroad on goods (Article 3 (d) (2)), provided thesewere taken abroad for job processing under a work and labour contract under the export procedure (Article 61 CustA) and                      subsequently  returned to the consignor on Swiss territory;
    g. in any other case; on the market value of the goods. Market value is taken as the value the importer, at the import value, would have to pay to obtain the same goods from an independent supplier in their country of origin at the time     the import tax debt is incurred per Article 56 under the conditions of free competition.

  2. Where the tax is levied according to the consideration received, the consideration paid or payable by the importer or by a third party in his stead under Article 24 applies, subject to Article 18(2)(h). If the amount of consideration is subsequently altered, Article 41 will apply.

  3. The assessment basis must include, if not already included:

    a. taxes, customs duties and other charges incurred outside Swiss territory and as a result of importation, with the exception of the VAT levied;  

    b.  the costs of transport or dispatch and all related supplies as far as the destination on Swiss territory to which the goods are to be transported at the time import tax debt under Article 56 is incurred; if this location is unknown, the        destination is the place where transshipment takes place on Swiss territory after the import tax is incurred.  

  4. If there is any doubt as to the correctness of the customs declaration or if details are lacking therein, the FCA may use its best judgment to estimate the VAT payable. 

  5. Price or value information expressed in terms of foreign currency adduced in order to determine the VAT payable must be converted into Swiss francs at the exchange rate (offer) prevailing on the stock exchange on the day before the date which the import tax was incurred under Article 56.  

Corresponding Article(s) of the EU VAT Directive (Recast) 2006/112/EC (as of January 2010)

There is no corresponding provision.