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  #21  
Old 10.10.2017, 19:12
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Re: VAT Liability in this situation

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I would strongly suggest you go and get proper professional advice, because honestly some of your interpretations sound off!

For example, if you are the sole director and conduct operations through a foreign company it is most likely that the company will be considered Swiss resident because it can not operate independently of you.

Under normal circumstances VAT is charged on services at the place of supply, however what you seem to be describing is a situation where a Swiss company is contracting for the supply of services from another possibly Swiss residence company at a foreign location by a Swiss resident... not even close to the normal situation!
Thank you for your message. It is hard to describe every detail which are part of the total solution so i understand how it sounds and may sound off. However for example my foreign companies have employees and directors etc, so there is not risk or even possibility of being judged as Swiss company.

However, you are right, i think someone possibly familiar with the situation could draw the lines. As said it does not matter how i do this, as long as it is done in a right way from the beginning.

Thank you very much for support
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  #22  
Old 10.10.2017, 20:45
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Re: VAT Liability in this situation

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Thank you for your message. It is hard to describe every detail which are part of the total solution so i understand how it sounds and may sound off. However for example my foreign companies have employees and directors etc, so there is not risk or even possibility of being judged as Swiss company.
Better get proper advice as the tax authorities may have a completely different view
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  #23  
Old 10.10.2017, 21:52
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Re: VAT Liability in this situation

I would certainly check the citizen/resident bit properly.

The company I work for is a small AG. Our Swiss person who runs the company is not Swiss but has a proper permit. She is moving abroad and my B permit (which allows me to live and work here for 5 years) is not good enough to be sole Swiss Director. We are having to add a "real" Swissy.

Our new real Swissy is actually a EU person with the right permit.

If your permit does forbid you to work it is highly unlikely it allows you to do Swiss-like things for your Swiss company. There's not much of that but I believe it includes any government docs that need signing. Eg. Tax returns.

Also, most VAT rules are based on place of supply. If your clients are abroad but the payment comes via a Swiss subsidiary you MAY be OK. But you will have to a) document it very, very clearly, and b) be prepared to fight. The VAT people seem to make up their own interpretation of the rules. (Hint: not in your favour).

VAT also depend on what you sell. Services can be a grey area.

Whatever you do, do not invoice in CHF.

Regards


Ian
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  #24  
Old 10.10.2017, 23:44
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Re: VAT Liability in this situation

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Because they have at least one board member who is a Swiss citizen.

Tom
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Thank you for the comment. To what is this information based on? And how come companies are registered with Swiss resident boardmembers if Swiss citizen is needed?
For SA / AG as well as SaRL GmBH, Swiss residency is needed, not citizenship.
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  #25  
Old 10.10.2017, 23:47
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Re: VAT Liability in this situation

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I
Our new real Swissy is actually a EU person with the right permit.
Ian
So, the new Swissy is not 'Swiss'.

Last edited by sva; 10.10.2017 at 23:47. Reason: typo
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  #26  
Old 11.10.2017, 00:06
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Re: VAT Liability in this situation

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So, the new Swissy is not 'Swiss'.
Permit C. Quasi Swiss.
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  #27  
Old 11.10.2017, 00:23
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Re: VAT Liability in this situation

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Permit C. Quasi Swiss.
If only....
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  #28  
Old 12.10.2017, 01:06
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Re: VAT Liability in this situation

Whichever permit it is, it has been decreed they are Swiss enough... unlike me.

Regards

Ian
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  #29  
Old 12.10.2017, 06:41
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Re: VAT Liability in this situation

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I am also EU citizen and exact form is that Swiss resident is something needed to be a boardmember. I am Swiss resident, so company status is ok.

But this line that is it against my permit that transaction is made with Swiss company and is it under VAT as all the work is done outside Switzerland. It does gain profit to Swiss company, but this problem needs to be solved before i can do anything. I have read the VAT laws but this seems to be kind of special case, so no direct answer was found.

Maybe i talk directly with tax office and ask them kindly to decide the right way.
Sounds like you need that accountant after all....


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Swiss citizen, not resident.
Swiss resident. Not citizen.
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