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Old 02.07.2021, 13:31
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Jim2007 Jim2007 is offline
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Re: Swiss employment contract for EU resident

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I can see the attractiveness of this in theory for the job seeker, given Swiss personal tax rates are significantly lower than his home country, but I cannot imagine any tax authorities letting this kind of loophole to exist and missing out on tax revenues??
Of course not, the tax authorities are professionals with far more experience in this area that the average taxpayer, they know all the tricks.

Liability to income tax is based on behaviour not even resident permits. The most widely know revenue practice is the 183 day rule. But that is only revenue practice, not the law. The law usually provides for other tests that they can apply if they feel the 183 day rule is being used solely for the purposes of tax avoidance. This like do you have a place of residence available to you that remains unoccupied in your absence and do you reside there when you visit the country and so on.

There are also consequences for the employer. They are being asked to falsify documents relating to the employee's status or alternatively they have a direct employee in another jurisdiction which depending on the tax laws there might make then subject to the tax laws in that state.
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