Frequently asked questions
What changes as of January 1, 2025 regarding VAT accounting?
As of January 1, 2025, companies with annual turnover of up to CHF 5,005,000 may, upon application, account for VAT annually instead of quarterly, semi-annually, or monthly.
What are the requirements for switching to annual VAT accounting?
The prerequisite is that previous and future VAT returns have been submitted on time and the corresponding amounts have been paid in full.
How and by when can the application be submitted?
The application can be submitted from January 2025 via the ESTV ePortal and must be submitted no later than February 28, 2025 to benefit for the 2025 tax year. For newly VAT-liable companies, a deadline of 60 days applies from receipt of the VAT number.
What deadlines apply to the annual VAT return and payment?
The annual return must be submitted by the end of February of the following year, and the amount due must be paid in full.
How do installment payments work under annual VAT accounting?
Installments are defined by the ESTV and made available via the ePortal starting in April. Under the effective method and flat rate VAT method, there are three installments due on May 30, August 30, and November 30. Under the net tax rate method, there is one installment due on August 30. In the event of late payments, default interest is charged both on the installments and on the annual accounting.
How can annual VAT accounting be terminated?
It may be terminated by revocation by the company via the ePortal no later than the end of February of the following year, by revocation by the ESTV if the turnover limit of CHF 5,005,000 is exceeded over three consecutive tax periods, or in the event of missed deadlines and insufficient installment payments.