Swiss VAT on e-services

Since 2010, the place of supply for VAT purposes of electronic supplies to Swiss consumers is Switzerland.  This means foreign providers of such supplies may have to register for Swiss VAT, charge and pay local VAT.

This includes Liechtenstein, which is in a VAT union with Switzerland.


Electronic and broadcast services liable to Swiss VAT

The services liable to Swiss VAT include:

  • Downloads or streaming music, film and games
  • Online gambling and lotteries
  • Software as a Service (SaaS) or downloadable software
  • Web hosting
  • Data, including images
  • Television and radio
  • Mobile phone and data services

Swiss e-service provider VAT registration threshold

The current VAT registration threshold for non-resident service providers is CHF 100,000 per annum. There is a proposal to change this to include all worldwide income from electronic services.


Swiss e-service provider VAT compliance

For businesses registered for VAT on e-services, the following compliance issues should be considered:

  • Foreign VAT registered businesses must appoint a local fiscal representative
  • The tax authorities may require a bank guarantee
  • B2B sales are VAT nil rated under the reverse charge rules; but the seller must attempt to verify the Swiss customer’s VAT number via the online UID register.
  • VAT returns are submitted quarterly

Latest Swiss news

Swiss scrap VAT exemption on foreign e-commerce 2019

August 17, 2018

On 15 August, Switzerland’s Federal Council confirmed that it will scrap the low value VAT exemption on imports of goods bought from foreign e-commerce providers....

VAT Reporting update 18.3.1

April 5, 2018

Overview This release is a maintenance release of the VAT Reporting application for the month March. It includes changes to reports, modifications and bug....

VAT Reporting update 18.2.1

March 1, 2018

Overview This release is a maintenance release of the VAT Reporting application for the month February. It includes new reports for 2018 and bug....