English translation of Article 56 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 56 of the Swiss VAT Act 2010

Incurrence, prescription and payment of the import tax debt 
  1. The import tax debt is incurred at the same time as the customs debt (Article 69 CustA [SR 631.0]).

  2. Taxable persons under Article 51 who settle the import tax debt via the CCP are permitted to make payment up to 60 days after the invoice is issued. Imports made by tourists, however, must be declared orally for customs assessment

  3. Facilities for security bonds may be granted as long as they do not endanger the collection of VAT

  4. The import tax debt will expire at the same time as the customs debt (Article 75 CustA). The period of limitation is suspended as long as criminal proceedings in respect of tax offences under this Act are in process and the person liable for payment has been informed (Article 104(4)).  

  5. If the import tax debt changes as a result of a subsequent adjustment of consideration, in particular as a result of a revision of the contract or due to price adjustments between related businesses based on recognised guidelines, any underestimated tax must be notified to the FCA within 30 days of such adjustment. Notification and  adjustment of the tax assessment may be dispensed with if the additional tax payable could be deducted as input tax under Article 28.
 

Article 114 of the Swiss VAT Ordinance 2010 (Security for payment of the tax over the EZV’s centralised settlement procedure) clarifying Article 56 Section 3 of the Swiss VAT Act 2010

If the tax is paid over the centralised settlement procedure (ZAZ), the EZV can require a lump-sum security based on its risk assessment. It is calculated as follows:

          a. At least 20 per cent of the tax accrued within a period of 60 days, provided the importer is registered with the Federal Tax Authorities as a taxable person and the conditions of the ZAZ are observed;
          b. 100 per cent of the tax accrued within a period of 60 days if the importer is not registered with the Federal Tax Authorities as a taxable person or the conditions of the ZAZ are not observed.

Article 115 of the Swiss VAT Ordinance 2010 (Amount of the security for a conditional tax claim and for payment reliefs) clarifying Article 56 Section 3 of the Swiss VAT Act 2010

     1. The amount of the security for conditional tax claims or in cases in which payment reliefs under Article 76 Section 1 ZG16 are granted:

          a. 100 per cent on storage of bulk goods;
          b. at least 25 per cent in other cases.

     2. For international transits the amount of the security is governed by international treaties.

Article 116 of the Swiss VAT Ordinance 2010 (Subsequent adjustment of the considerations) clarifying Article 56 Section 5 of the Swiss VAT Act 2010

     1. The notification of a subsequent adjustment of the considerations must contain the following information:

          a. Beginning and end date of the period for which the considerations are subsequently adjusted;
          b. the considerations calculated in this period;
          c. the total of the adjustments of the considerations;
          d. the allocation of the adjustment of the considerations to the various tax rates.

     2. Price and value details in foreign currency adduced for the determination of the adjustment of the considerations are to be converted into Swiss francs at the average exchange rate (selling) for the period.

     3. The EZV can from case to case demand further documentation in order to determine the import tax liability.


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

There is no corresponding provision.
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