Go Back   English Forum Switzerland > Help & tips > Finance/banking/taxation  
Reply
 
Thread Tools Display Modes
  #1  
Old 15.03.2009, 14:01
MountBerg's Avatar
Newbie 1st class
 
Join Date: Aug 2008
Location: Zürich
Posts: 26
Groaned at 1 Time in 1 Post
Thanked 13 Times in 8 Posts
MountBerg has made some interesting contributions
Freelancer: new computer not tax deductible?

I'm a self-employed freelancer in St Gallen, and more than a little surprised to find in the instructions (Wegleitung) accompanying my tax statement this little tidbit in a sidebar:

"Nicht abziehbar sind insbesondere Aufwendungen für Anschaffungen und Verbesserungen im Betrieb..."

-which I take to mean that capital expenses, such as a new computer, are not tax deductible. Is that correct? I've been searching high and low and can't find an answer to the contrary. I'm very surprised, as I keep reading how one is able to deduct more in Switzerland than in the UK, for example. Yet, in the UK, capital expenses are deductible to 50%, if I remember correctly.

Am I missing something, or is that really it, no capital deductions?
Reply With Quote
  #2  
Old 15.03.2009, 14:21
Nickers's Avatar
Forum Legend
 
Join Date: May 2006
Location: Zurich
Posts: 3,735
Groaned at 41 Times in 35 Posts
Thanked 4,899 Times in 1,697 Posts
Nickers has a reputation beyond reputeNickers has a reputation beyond reputeNickers has a reputation beyond reputeNickers has a reputation beyond reputeNickers has a reputation beyond reputeNickers has a reputation beyond repute
Re: Freelancer: new computer not tax deductible?

thats interesting, I would also like to read any responses, I am at the moment doing my accounts and am putting my new computer through against last years earnings as I would have in the UK, I don't earn a great deal so i was thinking i'd have a lot less tax to pay with my computer going through - I hope this isn't the case what you've discovered



Quote:
View Post
I'm a self-employed freelancer in St Gallen, and more than a little surprised to find in the instructions (Wegleitung) accompanying my tax statement this little tidbit in a sidebar:

"Nicht abziehbar sind insbesondere Aufwendungen für Anschaffungen und Verbesserungen im Betrieb..."

-which I take to mean that capital expenses, such as a new computer, are not tax deductible. Is that correct? I've been searching high and low and can't find an answer to the contrary. I'm very surprised, as I keep reading how one is able to deduct more in Switzerland than in the UK, for example. Yet, in the UK, capital expenses are deductible to 50%, if I remember correctly.

Am I missing something, or is that really it, no capital deductions?
Reply With Quote
  #3  
Old 15.03.2009, 16:36
NotAllThere's Avatar
Forum Legend
 
Join Date: Oct 2008
Location: Baselland
Posts: 12,975
Groaned at 206 Times in 183 Posts
Thanked 18,808 Times in 7,664 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: Freelancer: new computer not tax deductible?

I work through my own GmbH - I've had no problem putting new hardware through the books.

It is odd. It looks like they're denying it on the basis that it's for improving the business, rather than because it's needed by the business.
Reply With Quote
This user would like to thank NotAllThere for this useful post:
  #4  
Old 15.03.2009, 18:12
Goldtop's Avatar
Forum Legend
 
Join Date: Feb 2008
Location: Zurich
Posts: 2,857
Groaned at 11 Times in 11 Posts
Thanked 905 Times in 625 Posts
Goldtop has a reputation beyond reputeGoldtop has a reputation beyond reputeGoldtop has a reputation beyond reputeGoldtop has a reputation beyond repute
Re: Freelancer: new computer not tax deductible?

Quote:
View Post
I'm a self-employed freelancer in St Gallen, and more than a little surprised to find in the instructions (Wegleitung) accompanying my tax statement this little tidbit in a sidebar:

"Nicht abziehbar sind insbesondere Aufwendungen für Anschaffungen und Verbesserungen im Betrieb..."

-which I take to mean that capital expenses, such as a new computer, are not tax deductible. Is that correct? I've been searching high and low and can't find an answer to the contrary. I'm very surprised, as I keep reading how one is able to deduct more in Switzerland than in the UK, for example. Yet, in the UK, capital expenses are deductible to 50%, if I remember correctly.

Am I missing something, or is that really it, no capital deductions?
My experience in ZH is that the depreciation is deductible. Computers are depreciated 50% annually. Moreover, the expenditure must be business relevant, e.g. farmers need tractors, IT-Specialists need computers, etc.
Reply With Quote
This user would like to thank Goldtop for this useful post:
  #5  
Old 15.03.2009, 18:47
NotAllThere's Avatar
Forum Legend
 
Join Date: Oct 2008
Location: Baselland
Posts: 12,975
Groaned at 206 Times in 183 Posts
Thanked 18,808 Times in 7,664 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: Freelancer: new computer not tax deductible?

Anyone running a business may need a computer.
Reply With Quote
  #6  
Old 16.03.2009, 21:13
Jim2007's Avatar
Forum Legend
 
Join Date: Jun 2006
Location: Kt. Bern
Posts: 4,339
Groaned at 204 Times in 161 Posts
Thanked 7,036 Times in 3,141 Posts
Jim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond reputeJim2007 has a reputation beyond repute
Re: Freelancer: new computer not tax deductible?

First thing to establish is what you mean by a Freelancer? Are you working over an agency, are you self employed or do you have a company. In the first case you will not normally be able to claim capital expenses as you are in fact an employee, in the second two cases it should be possible.

Jim
Reply With Quote
  #7  
Old 17.03.2009, 09:25
MountBerg's Avatar
Newbie 1st class
 
Join Date: Aug 2008
Location: Zürich
Posts: 26
Groaned at 1 Time in 1 Post
Thanked 13 Times in 8 Posts
MountBerg has made some interesting contributions
Re: Freelancer: new computer not tax deductible?

I am self-employed. I've now decided to take these expenses off, the tax office can query that if they are really not allowed.
Reply With Quote
  #8  
Old 17.03.2009, 09:55
Forum Legend
 
Join Date: Feb 2008
Location: Zurich
Posts: 3,469
Groaned at 17 Times in 15 Posts
Thanked 1,994 Times in 1,187 Posts
CH_Me has a reputation beyond reputeCH_Me has a reputation beyond reputeCH_Me has a reputation beyond reputeCH_Me has a reputation beyond repute
Re: Freelancer: new computer not tax deductible?

For a freelancer working through an agency we needed a letter from the employer stating that a computer was needed at home for work and they were not covering the cost. The Zug tax office then said 30% of it was was for personal use, but we could claim 70% in the year of purchase. We didn't bother challenging this since they charge you for challenging it.

We also claimed one room from our rent (when renting) and now 1 room as an office from our Eigenmietwert/deemed rental value. In Zug we need to work 3 days per week from home to claim this.
Reply With Quote
This user would like to thank CH_Me for this useful post:
Reply

Tags
allowance, capital, deduction, expense




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
Possible to Apply for Permit B as a Freelancer/Self-employed? George Chernikov Permits/visas/government 2 17.02.2009 09:16
Are rental payments tax deductible? dabutiman Finance/banking/taxation 16 25.03.2008 10:49
Medical costs, to help work out deductible kodokan Insurance 9 22.02.2008 00:10
Tax Deductible - Training vs Education ? Guest Business & entrepreneur 0 20.07.2007 10:41


All times are GMT +2. The time now is 00:49.


Powered by vBulletin® Version 3.8.4
Copyright ©2000 - 2021, Jelsoft Enterprises Ltd.
LinkBacks Enabled by vBSEO 3.1.0