Tax ruling
A tax ruling is binding information obtained in advance from the responsible tax authority. In Switzerland , taxpayers can describe their facts and the associated tax consequences from their point of view. The tax authorities then assess the statements made and provide binding information . This is often used by companies and wealthy people to have complex and difficult issues finally assessed. A tax ruling is not an agreement between the taxpayer and the tax administration in which the law can be deviated from, but a legal analysis of a situation.
purpose
A tax ruling is a legal option for tax optimization in Switzerland. The purpose of a tax ruling is to provide the taxpayer with legal certainty, as the sometimes complex and unclear tax consequences are confirmed before a transaction. In practice, however, a tax ruling cannot be used to request binding legal information on a matter without submitting its own legal assessment, since the tax administration should not be misused as legal information free of charge . Furthermore, a future dispute with the tax authorities can be avoided with a tax ruling, as this is bound to their own assessment. For this purpose, a tax ruling must be entered in writing and the facts must be described as specifically as possible. All relevant facts are to be disclosed and the taxpayer is to be named.
Binding effect
scope
A tax ruling only takes effect in the relevant canton or in relation to the relevant tax administration. The federal tax administration can therefore not regulate any issues that are binding on the cantonal tax administrations.
No binding effect
A tax ruling is generally binding, unless the taxpayer deviates from it in essential points, a change in the law comes into force or the authority is wrong. If the truth is not told in a tax ruling, the binding effect is no longer applicable, as this only extends to the facts presented. Furthermore, the tax ruling only applies to the law applicable at the time of approval by the tax authorities. A newer law that contradicts the old law cancels the binding effect.
International comparison
Tax rulings are widespread in Switzerland. In most countries, however, this instrument is not known or is hostile to it.
Individual evidence
- ↑ Swiss Parliament; Independent investigation of the tax rulings by the Federal Tax Administration and Tax Administration of the Canton of Bern . Retrieved December 11, 2015.
- ↑ Urs Fischer; Tax ruling . Retrieved December 11, 2015.
- ↑ Tax Administration of the Canton of Graubünden; [1] . Retrieved December 11, 2015.