Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation  
Reply
 
Thread Tools Display Modes
  #1  
Old 12.08.2020, 11:55
Newbie 1st class
 
Join Date: Apr 2011
Location: Stäfa, ZH
Posts: 27
Groaned at 0 Times in 0 Posts
Thanked 14 Times in 13 Posts
dowser has made some interesting contributions
Tax efficiency - removing money from a GmbH

Hi All

Wasn't sure whether to place here in the Business section, hopefully this is correct.

I have a dormant GmbH (since 2014) with funds in it. I haven't closed it because I may still re-activate it one day.

However, I'm getting a divorce, so I therefore need to give half the money in the GmbH to my ex. How do I do that most tax efficiently?

- My Ex will be leaving CH for Canada after the divorce, so the actual payment could go overseas if that helps (and would be preferable for her of course)
- But I think the GmbH will be liable for Tax on this payment, as it is considered profit. Is there any way to calculate the taxable amount? Are there any different ways of making a payment from a GmbH that are treated differently from a Tax perspective? Amount will be around CHF 40k.
- And ultimately, would I be better closing the GmbH altogether as part of same process - does that give me any options to make it more tax efficient?

Many thanks - guess ultimately I'm best investing in some professional advice. Any recommendations? Sticky above looks a bit stale

Many thanks, Richard
Reply With Quote
  #2  
Old 12.08.2020, 12:35
Forum Veteran
 
Join Date: Dec 2012
Location: Aargau
Posts: 2,488
Groaned at 11 Times in 10 Posts
Thanked 3,381 Times in 1,515 Posts
Mullhollander has a reputation beyond reputeMullhollander has a reputation beyond reputeMullhollander has a reputation beyond reputeMullhollander has a reputation beyond reputeMullhollander has a reputation beyond reputeMullhollander has a reputation beyond repute
Re: Tax efficiency - removing money from a GmbH

There are three possibilities or a combination of two or more:

1. Return of capital: Part of the capital is returned to the Gesellschafter.

2. Dividends: Already taxed earnings are paid out to the Gesellschafter in the form of a dividend. The dividends are taxed at the recipient's level. There is also a 35% withholding tax that is paid at time of dividend distribution which can be reclaimed by the recipient when the individual tax return is filed.


3. Salary: If the Gesellschafter is still working for the company, a salary could possibly be paid. Normal AHV payroll taxes would be due and a income tax would be paid at the Gesellschafter.

The most income tax efficient is return of capital. Calculations could be made whether dividends or a salary might make more tax sense, but a salary may be difficult if the company is dormant.

Consideraton could be given to closing the company, paying out the paid-in capital and dividending the rest. Assuming the company is free of Betreibungen, it can be possible to sell the legal entity, which also saves on liquidation costs and cuts short the lengthy liquidation period.
Reply With Quote
The following 2 users would like to thank Mullhollander for this useful post:
  #3  
Old 12.08.2020, 15:59
Newbie 1st class
 
Join Date: Apr 2011
Location: Stäfa, ZH
Posts: 27
Groaned at 0 Times in 0 Posts
Thanked 14 Times in 13 Posts
dowser has made some interesting contributions
Re: Tax efficiency - removing money from a GmbH

Wow - many thanks for the information! Do you do this professionally? Happy to take it offline if yes, but equally happy to ask questions here if you're just a huge subject matter expert...who likes sharing valuable info?

Thanks again, Richard
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
Swiss Efficiency at Its Best porsch1909 Insurance 6 22.07.2015 23:51
Swiss efficiency - V-Zug telandy Daily life 10 30.11.2014 23:02
Tax efficiency in my situation englishman_in_zurich Finance/banking/taxation 14 01.02.2013 22:00
police efficiency grynch Daily life 12 04.05.2010 10:24
[Votes on] November 26th (aka Money Money Money) Lob Swiss politics/news 3 22.11.2006 15:11


All times are GMT +2. The time now is 19:52.


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