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Old 01.11.2020, 15:27
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Re: Pro-rata taxation

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A question on pro-rata taxation I would appreciate if someone could share their experience with me.

I moved to CH (canton Schwyz) and started working in October. Having received my first payment, it seems that I am being taxed at the tax rate equivalent to me working the full year. Obviously during this Oct-Dec tax year I will only receive 3/12 of my annual salary and therefore the tax rate would have to be significantly lower.

What should I do in this situation?
a) Do I file a tax return - despite earning less than CHF 120k during these 3 months?
b) Do I just inform my canton and if so which authority would be responsible for that?

I think many will have been in this situation.

Many thanks!
Been discussed several times. Indeed in CH they apply the tax rate assuming full year income on the amount you actually earned. They do not want people to benefit by having 2 half years of taxation.

Incidentally the same is true when you leave - they assume same income for the whole year to decide the tax rate.

If you do a tax declaration they will ask you for income for the full year also to determine the tax rate.

K
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