Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation  
Reply
 
Thread Tools Display Modes
  #1  
Old 14.01.2020, 13:40
Forum Legend
 
Join Date: Jun 2007
Location: Aargau
Posts: 2,869
Groaned at 91 Times in 63 Posts
Thanked 3,654 Times in 1,470 Posts
Snoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond repute
Taxation Swiss pension (2nd/3rd pillars) in Canada

I know that if I leave Switzerland and have the contents of my vested benefits account (Freizügigkeitskonto) paid out after I have left I pay withholding tax based on the canton in which the accounts are held.

If I was to move to Canada, can anyone tell me how that would be taxed in Canada? If I was moving to the UK for example, I know that it would not be taxed in the UK (according to the double taxation agreement). What's the situation in Canada?

Also, is the third pillar treated the same as the 2nd pillar?

Would be grateful for any information. Thanks.
Reply With Quote
  #2  
Old 14.01.2020, 13:56
aSwissInTheUS's Avatar
Forum Legend
 
Join Date: Nov 2007
Location: Zurich area
Posts: 11,656
Groaned at 87 Times in 78 Posts
Thanked 17,710 Times in 7,871 Posts
aSwissInTheUS has a reputation beyond reputeaSwissInTheUS has a reputation beyond reputeaSwissInTheUS has a reputation beyond reputeaSwissInTheUS has a reputation beyond reputeaSwissInTheUS has a reputation beyond reputeaSwissInTheUS has a reputation beyond repute
Re: Taxation Swiss pension (2nd/3rd pillars) in Canada

In certain cases if you are taxed abroad you can reclaim the Swiss withholding tax.
Search from from Q-IS https://www.estv.admin.ch/estv/de/ho...formulare.html

But it looks like in case of Canada this seems not be possible. ESTV Rundschreiben 166 https://www.estv.admin.ch/dam/estv/d...6-D-2019-d.pdf

This might be due that lump sum pension payments are only taxable in Switzerland.
Reply With Quote
  #3  
Old 14.01.2020, 14:25
Forum Legend
 
Join Date: Jun 2007
Location: Aargau
Posts: 2,869
Groaned at 91 Times in 63 Posts
Thanked 3,654 Times in 1,470 Posts
Snoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond reputeSnoopy has a reputation beyond repute
Re: Taxation Swiss pension (2nd/3rd pillars) in Canada

Quote:
View Post
In certain cases if you are taxed abroad you can reclaim the Swiss withholding tax.
Search from from Q-IS https://www.estv.admin.ch/estv/de/ho...formulare.html

But it looks like in case of Canada this seems not be possible. ESTV Rundschreiben 166 https://www.estv.admin.ch/dam/estv/d...6-D-2019-d.pdf

This might be due that lump sum pension payments are only taxable in Switzerland.
Thanks. I am ok with paying the withholding tax in Switzerland and not being able to reclaim it, if the lump sum payments are only taxable in Switzerland. That would be a decent option. It's also interesting to see that even regular pension payments seem like tgey would only be taxed in Switzerland, up to a maximum of 15%. Not quite sure how that would work practically...
Reply With Quote
Reply




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
Cashing out Swiss pension (Pillar 1) for Non-EU (Canada) expat4ever Finance/banking/taxation 17 21.10.2018 20:50
US Taxation Swiss Pension Summerinzurich Finance/banking/taxation 4 18.06.2017 10:25
Swiss old age pension / Canada questions JanerMacP Finance/banking/taxation 7 12.11.2016 18:30
Taxation of Contributions to Swiss pension plans jonsfca Finance/banking/taxation 2 19.10.2011 06:00
Quick question about pension pillars Guest Finance/banking/taxation 15 07.05.2007 10:30


All times are GMT +2. The time now is 06:30.


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