Share with your friends

Switzerland: VAT-registered foreign companies not required to declare worldwide turnover

Switzerland: VAT-registered foreign companies

The Swiss federal tax authority published a first draft of updated guidance in relation to foreign companies and value added tax (VAT). The information has been collated in a new booklet as “VAT Info 22” with the title “Foreign Companies.”


Related content

The updated guidance provides clear direction and certainty with regard to questions about the declaration of turnover under the new reporting rules for foreign companies in relation to their worldwide turnover. Under the updated guidance, foreign companies that are VAT-registered in Switzerland are only required to report their turnover in connection with their supplies in Switzerland. They are no longer required to make a declaration of their worldwide turnover.

Nevertheless, certain earnings or income generated abroad still may be required to be taken into consideration and could lead to a restriction of the Swiss input VAT recovery.

KPMG observation

The VAT guidance has been published as a first draft. However, tax professionals do not expect major changes or amendments.

Read a May 2019 report prepared by the KPMG member firm in Switzerland

© 2021 Copyright owned by one or more of the KPMG International entities. KPMG International entities provide no services to clients. All rights reserved.

KPMG refers to the global organization or to one or more of the member firms of KPMG International Limited (“KPMG International”), each of which is a separate legal entity. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. For more detail about our structure please visit

Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us


Want to do business with KPMG?


loading image Request for proposal

Stay up to date with what matters to you

Gain access to personalized content based on your interests by signing up today

Sign up today