Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation  
Reply
 
Thread Tools Display Modes
  #1  
Old 07.09.2019, 17:23
Newbie
 
Join Date: Dec 2018
Location: Chateau-d'Oex
Posts: 6
Groaned at 0 Times in 0 Posts
Thanked 1 Time in 1 Post
charlijg has no particular reputation at present
Non-resident taxation

Hello!

I purchased a roperty in Vaud late 2017 and received a bill for 2018:
'Impot sur le revenue et la fortune 2018 Impot anticipe 2018 Impot federal direct 2018'.
I was told by the local town office that this was the tax based on 'imputed income' of my property and a wealth tax and that it MUST be paid.

I did get a L permit for residency (temporary one year) as I was also advised that I had to get this. After further research, I found that it was ot necessary as I was not in Switzerland for gainful activity and did not spend a period of more than 90 days.

I do not have any income in Switzerland.
I have a mortgage in Switzerland through a Swiss bank.

My understanding is that I am a non-resident and so am not liable for tax. Is this correct?

I have just received a letter from the cantonal office 'Invitation a deposer la declaration 2018' which I understand to be demanding for me to file a full tax return.

Should I have paid the original tax invoice for CHF 13000?
Am I actually liable for tax in Switzerland?

I tried to call the cantonal office but they didn't speak English and the school never taught me 'tax language' in French!
Any help is so very much appreciated!

Thanks!
Reply With Quote
  #2  
Old 30.09.2019, 21:55
Newbie
 
Join Date: Dec 2018
Location: Chateau-d'Oex
Posts: 6
Groaned at 0 Times in 0 Posts
Thanked 1 Time in 1 Post
charlijg has no particular reputation at present
Re: Non-resident taxation

With no replies, I'm unsure if there is any other interested.....

I have been advised to contact the commune office to notify them of the dates I entered/left Switzerland so they can correct their files regarding the L permit.

non-residents who own property in Vaud are liable for revenue and fortune taxfor the canton and commune.

Revenue is the 'imputed income' from renting out the property (this is estimated by the tax office. If you actually rent your property, then the actual value is used).

Fortune is a wealth tax based on your assets in Switzerland.

The percentage rate at which your revenue is taxed is based on your worldwide income.
You can deduct Swiss mortgage interest and property service charges from you revenue figure before applying the percentage rate.

I have not yet worked out how to file the Vaudtax 2018 return online for a non-resident. If anyone has any advice on this... PLEASE help!!

Currently, I am unsure of
-what to put in the numero AVS box as this number is only given to residents?
-Which box to select for 'selection des revenus'? (none appear to be property related?)
...haven't gone any further than this as I am now unsure if the online form allows for non-residents to file this way!
Reply With Quote
This user would like to thank charlijg for this useful post:
  #3  
Old 01.10.2019, 08:07
NotAllThere's Avatar
Forum Legend
 
Join Date: Oct 2008
Location: Baselland
Posts: 11,490
Groaned at 173 Times in 150 Posts
Thanked 16,401 Times in 6,677 Posts
NotAllThere has a reputation beyond reputeNotAllThere has a reputation beyond reputeNotAllThere has a reputation beyond reputeNotAllThere has a reputation beyond reputeNotAllThere has a reputation beyond reputeNotAllThere has a reputation beyond repute
Re: Non-resident taxation

For you first tax return, see an accountant. After that it's easy to do it yourself.
Reply With Quote
The following 4 users would like to thank NotAllThere for this useful post:
  #4  
Old 01.10.2019, 08:33
omtatsat's Avatar
Forum Legend
 
Join Date: Oct 2007
Location: Timbuktoo
Posts: 9,528
Groaned at 1,847 Times in 1,000 Posts
Thanked 4,346 Times in 2,770 Posts
omtatsat is considered unworthyomtatsat is considered unworthyomtatsat is considered unworthyomtatsat is considered unworthy
Re: Non-resident taxation

Quote:
View Post
Hello!

I purchased a roperty in Vaud late 2017 and received a bill for 2018:
'Impot sur le revenue et la fortune 2018 Impot anticipe 2018 Impot federal direct 2018'.
I was told by the local town office that this was the tax based on 'imputed income' of my property and a wealth tax and that it MUST be paid.

I did get a L permit for residency (temporary one year) as I was also advised that I had to get this. After further research, I found that it was ot necessary as I was not in Switzerland for gainful activity and did not spend a period of more than 90 days.

I do not have any income in Switzerland.
I have a mortgage in Switzerland through a Swiss bank.

My understanding is that I am a non-resident and so am not liable for tax. Is this correct?

I have just received a letter from the cantonal office 'Invitation a deposer la declaration 2018' which I understand to be demanding for me to file a full tax return.

Should I have paid the original tax invoice for CHF 13000?
Am I actually liable for tax in Switzerland?

I tried to call the cantonal office but they didn't speak English and the school never taught me 'tax language' in French!
Any help is so very much appreciated!

Thanks!
Shit nobody buys a property here. The wealth tax will kill you. Pretty sure you will have to pay that tax. And why not. No reason you should be exempted. And you have to put it on the tax return of your home country.
Reply With Quote
  #5  
Old 01.10.2019, 09:13
Forum Legend
 
Join Date: Oct 2014
Location: Ostschweiz
Posts: 7,200
Groaned at 265 Times in 227 Posts
Thanked 9,315 Times in 4,909 Posts
Urs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond reputeUrs Max has a reputation beyond repute
Re: Non-resident taxation

Quote:
View Post
I do not have any income in Switzerland.
I have a mortgage in Switzerland through a Swiss bank.

My understanding is that I am a non-resident and so am not liable for tax. Is this correct?
With your permit L that may no longer apply. However, and anyways, you are distinct from your real estate; real estate is usually taxed on its own and by the commune/Canton it's located in. Further, income and wealth tax are distinct.
Quote:
View Post
For you first tax return, see an accountant. After that it's easy to do it yourself.
+1
Reply With Quote
  #6  
Old 01.10.2019, 18:39
omtatsat's Avatar
Forum Legend
 
Join Date: Oct 2007
Location: Timbuktoo
Posts: 9,528
Groaned at 1,847 Times in 1,000 Posts
Thanked 4,346 Times in 2,770 Posts
omtatsat is considered unworthyomtatsat is considered unworthyomtatsat is considered unworthyomtatsat is considered unworthy
Re: Non-resident taxation

Quote:
View Post
With your permit L that may no longer apply. However, and anyways, you are distinct from your real estate; real estate is usually taxed on its own and by the commune/Canton it's located in. Further, income and wealth tax are distinct.

+1
You are liable for tax as a non resident.Wealth Tax. And you have to declare it in your tax return here and in your home country.

Last edited by omtatsat; 01.10.2019 at 18:54.
Reply With Quote
This user would like to thank omtatsat for this useful post:
  #7  
Old 01.10.2019, 19:07
Newbie 1st class
 
Join Date: May 2016
Location: Rotkreuz
Posts: 29
Groaned at 1 Time in 1 Post
Thanked 11 Times in 8 Posts
bailout has no particular reputation at present
Re: Non-resident taxation

Quote:
View Post
Shit nobody buys a property here. The wealth tax will kill you. Pretty sure you will have to pay that tax. And why not. No reason you should be exempted. And you have to put it on the tax return of your home country.
Buying property actually generally reduces your taxable base for wealth tax.

This is because the value of the property which you declare is the Grundbuch value, which is heavily below market price. If you take out a CHF 1m mortgage for a new purchase and the Grundbuch value of the property is CHF 0.7m, you effectively reduced your taxable wealth base by CHF 0.3m, as mortgages are tax-deductible for wealth calculation purposes.

None of this actually matters anyway, because for most people, wealth taxes are of a negligible amount.
Reply With Quote
Reply

Tags
non resident, residency permit, tax, vaud




Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Opening a Bank Account for non-resident (non-SEPA nationals) magikarp Finance/banking/taxation 3 04.02.2018 11:22
Canadian expats - resident or non-resident status? FunnyBone Finance/banking/taxation 2 01.09.2015 19:13
Taxation [UK Non-Resident Married to Resident] Montana2 Finance/banking/taxation 1 20.07.2015 14:54
Non-resident taxation - tax return & income basis . chast Finance/banking/taxation 4 11.11.2011 11:02
Bank account for resident&non-resident dimli Finance/banking/taxation 0 11.10.2010 15:05


All times are GMT +2. The time now is 05:41.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2020, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0