Hi all.
I'm by no means a "teacher" on this topic - I'd just like to put together the main parts/aspects of how taxation is done in Switzerland for residents holding C-permit and Swiss nationals. I am happy to get your contribution to this, as I'd like to make it some sort of "schematic" which can be looked up and easily understood. I would apply the additional information in this initial post by editing it step-by-step. Let's start.
AFAIK in Switzerland you're taxed at three different levels:
All of the above are taxing your income (Einkommenssteuer), but the wealth tax (Vermögenssteuer) is not applied by the state.
When it comes to investments, I think there are a couple of things one needs to know/understand:
Contributions to the 3rd pillar also result in tax deductions. I don't know how to calculate these either.
Please add everything I might've forgot and correct me if I've stated something wrong.
TIA!
I'm by no means a "teacher" on this topic - I'd just like to put together the main parts/aspects of how taxation is done in Switzerland for residents holding C-permit and Swiss nationals. I am happy to get your contribution to this, as I'd like to make it some sort of "schematic" which can be looked up and easily understood. I would apply the additional information in this initial post by editing it step-by-step. Let's start.
AFAIK in Switzerland you're taxed at three different levels:
- Municipality (Gemeindesteuer)
- Canton (Kantonssteuer)
- State (Bundessteuer)
All of the above are taxing your income (Einkommenssteuer), but the wealth tax (Vermögenssteuer) is not applied by the state.
When it comes to investments, I think there are a couple of things one needs to know/understand:
- dividends are taxed as income
- dividends are subject to "Verrechnungssteuer", which usually is 35% (exceptions apply for US-domiciled financial instruments, I think - correct me if I'm wrong)
- the "Verrechnungssteuer" can be fully retrieved with the tax declaration
Contributions to the 3rd pillar also result in tax deductions. I don't know how to calculate these either.
Please add everything I might've forgot and correct me if I've stated something wrong.
TIA!
