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Old 13.01.2021, 09:45
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Re: Withholding tax for part-time employees. New tax regulations for 2021

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Their argument makes no sense - on that basis, if you worked 20% you'd have no income at all after source tax.


That is not how math and tax works. The tax rate will never be 100%.
There is always the taxable income (steuerbares Einkomen) and a tax rate determining income (satzbestimmendes Einkommen).

Example: If some body makes 40 CHf /h and works 15 h per week they will get around 4 ⅓ weeks/month 15 h/week 40 CHF/h = 2580 CHF/month while working 65 h/month. This is the taxable income.

In Canton Zurich, on tariff A0 (single, no kids, no church affiliation) the tax rate would be, or was under the old regime where ax rate determining income was the same as the taxable income, 2.14%

Now, for the determing the aplicaple tax rate the employment gets extrapolated to a full time employment which is 180 h/month. The applicable taxe rate is thus the one for a income of 2580 180 / 64 = 7256.25 CHF. This is the tax rate determing income. This results in a applicable tax rate of 8.83 % and the tax at source deducted from 2580 CHF, the taxable income, is accordingly 227.80 CHF.
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Last edited by aSwissInTheUS; 13.01.2021 at 09:56.
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