Value Added Tax Act (VAT Act)
English is not an official language of the Swiss Confederation. This translation is provided for information purposes only and has no legal force.
Art. 1 Subject and principles
1 The Confederation shall levy a general consumption tax based on the system of net all-phase taxation with input tax deduction (Value Added Tax). The purpose of the tax is to tax non-business end use on Swiss territory. 2 As Value Added Tax, it levies: a. a tax on goods and services supplied for consideration by taxable persons on Swiss territory (domestic tax); b. a tax on the acquisition of supplies made on Swiss territory from businesses domiciled abroad and on the purchase of emission allowances and similar rights (acquisition tax); c. a tax on the import of goods (import tax). 3 The tax is levied on the following principles: a. competitive neutrality; b. efficiency of payment and imposition; c. transferability.
Para. 2 let. b — Amended by No I of the FA of 16 June 2023, in force since 1 Jan. 2025 (AS 2024 438; BBl 2021 2363).
Art. 2 Relationship to cantonal law
1 Ticket taxes and taxes on the transfer of title that are imposed by the cantons and communes do not qualify as taxes of the same nature as those defined in Article 134 of the Federal Constitution. 2 They may be imposed to the extent they do not include Value Added Tax in their assessment basis.
Art. 3 Definitions
In this Act: a. Swiss territory means the territory of the Swiss Confederation together with the customs enclaves according to Article 3 paragraph 2 of the Customs Act of 18 March 2005 (CustA). b. Goods means movable and immovable objects and electricity, gas, heating, refrigeration and the like. c. Supply means the concession of a usable economic asset to a third party in expectation of a consideration, even if it is required by law or based on an official order. d. Supply of goods means: 1. the transfer of the power to dispose of a good commercially in one’s own name; 2. the delivery of a good on which work has been performed, even if the good is not altered by the work, but only tested, calibrated, regulated, checked for its function or has been treated in another way; 3. making a good available for use or exploitation. e. Supply of services means every supply that is not a supply of goods; a supply of services is also made if: 1. intangible assets and rights are made available; 2.
let. a — SR 631.0 let. g — Amended by No I of the FA of 30 Sept. 2016, in force since 1 Jan. 2018 (AS 2017 3575; BBl 2015 2615). let. h — Amended by No I of the FA of 30 Sept. 2016, in force since 1 Jan. 2018 (AS 2017 3575; BBl 2015 2615). let. i — Amended by No I of the FA of 30 Sept. 2016, in force since 1 Jan. 2018 (AS 2017 3575; BBl 2015 2615). let. l — Inserted by No I of the FA of 16 June 2023, in force since 1 Jan. 2025 (AS 2024 438; BBl 2021 2363).
Art. 4 Samnaun and Sampuoir
1 As long as the valley areas of Samnaun and Sampuoir remain outside Swiss customs territory, this Act applies in both valley areas only to services. 2 The loss of tax revenue suffered by the Confederation as a result of paragraph 1 must be compensated for by the communes of Samnaun and Valsot. 3 The Federal Council regulates the details in consultation with the communes of Samnaun and Valsot. In doing so it shall take appropriate account of the savings resulting from the lower cost of levying the tax.
Para. 1 — As the legal successor to the commune of Tschlin, Valsot must from 1 Jan. 2013 compensate the Confederation for tax-free supplies made on its part of the customs enclave (AS 2012 3551). Para. 2 — Amended by No I of the FA of 30 Sept. 2016, in force since 1 Jan. 2018 (AS 2017 3575; BBl 2015 2615). Para. 3 — Amended by No I of the FA of 30 Sept. 2016, in force since 1 Jan. 2018 (AS 2017 3575; BBl 2015 2615).
Art. 5 Indexation
The Federal Council shall decide on the adjustment of the Swiss franc amounts mentioned in Articles 31 paragraph 2 letter c, 35 paragraph 1bis letter b, 37 paragraph 1, 38 paragraph 1 and 45 paragraph 2 letter b, as soon as the Swiss consumer price index has increased by more than 30 per cent since the most recent adjustment.
Art. 5 — Amended by No I of the FA of 16 June 2023, in force since 1 Jan. 2025 (AS 2024 438; BBl 2021 2363).
Art. 6 Passing on of the tax
1 The passing on of the tax is based on agreements governed by private law. 2 The civil courts are competent to judge disputes about the passing on of the tax.
Art. 7 Place of supply of goods
1 The place of supply of goods is the place where: a. the good is located at the time of transfer of the power to dispose commercially of it, of its delivery or of its being made available for use or exploitation; b. the transport or dispatch of the good to the customer or to a third party on the customer’s instructions begins. 2 The place of supply of electricity by cable, gas via the natural gas distribution network or district heating is deemed to be the place at which the recipients of the supply have their registered office or a permanent establishment for which the supply is made, or, in the absence of such a registered office or such a permanent establishment, the place where the electricity, gas or district heating is actually used or consumed. 3 In the case of the supply of a good from abroad to Swiss territory, the place of supply is deemed to be on Swiss territory, provided the supplier: a. has authorisation from the Federal Tax Administration (FTA) to import the good in its
Para. 2 — Amended by No I of the FA of 30 Sept. 2016, in force since 1 Jan. 2018 (AS 2017 3575; BBl 2015 2615). Para. 3 let. b — Inserted by No I of the FA of 30 Sept. 2016, let. a in force since 1 Jan. 2018 and let. b in force since 1 Jan. 2019 (AS 2017 3575; BBl 2015 2615).
Art. 8 Place of supply of a service
1 The place of supply of a service is deemed, subject to paragraph 2, to be the place at which the recipient of the service has its registered office or a permanent establishment for which the service is provided, or in the absence of such a registered office or such a permanent establishment, the recipient’s domicile or place of normal abode. 2 The place of supply of the following services is deemed to be: a. for services that are typically supplied directly in the physical presence of individuals, even if exceptionally they are supplied at a distance: the place where the person supplying the service has its registered office or a permanent establishment, or in the absence of such a registered office or such a permanent establishment the domicile or the place from which the person works; such services are in particular: healing treatments, therapies, nursing, personal hygiene, marriage, family and life counselling, social services and social welfare services and child and youth care;
Para. 2 let. b — Amended by No I of the FA of 16 June 2023, in force since 1 Jan. 2025 (AS 2024 438; BBl 2021 2363). Para. 2 let. c — Amended by No I of the FA of 16 June 2023, in force since 1 Jan. 2025 (AS 2024 438; BBl 2021 2363).
Art. 9 Avoidance of distortion of competition
In order to avoid a distortion of competition due to the double taxation or non-taxation of cross-border supplies, the Federal Council may, in divergence from Article 3, regulate the definition of supplies of goods and services and, in divergence from Articles 7 and 8, determine the place of supply.