Swiss authorities level the playing field for non-resident companies selling into Switzerland – With effect from 1 January, 2019 VAT registration and VAT accounting obligations will now exist for many foreign companies selling into the Swiss market.
Change of the distance selling regulations as of January 1, 2019
The partial revision of the Swiss VAT Act entered into force on January 1, 2018. However, it will not be completed until the enactment of the change regarding the distance-selling rules which has been postponed to January 1, 2019. Earlier this year, the Swiss Federal Tax Administration (FTA) published information on the new legal situation as well as the relating obligations for the taxpayers in more detail. However, the corresponding provisions of the Swiss VAT Ordinance have not yet been adopted and certain amendments may therefore still be necessary. In the following the new regulations and what distance selling companies need to know about the new rules are explained.