Accounting March 24, 2023 | David Merz Special features of accounting for a GmbH One of the most popular business structures in Switzerland is the GmbH, or “Gesellschaft mit beschränkter Haftung,” which translates to “company with limited liability.” In essence, it is the Swiss equivalent of a “Limited Liability Company” (LLC). A GmbH offer many benefits to business owners, including limited liability protection and flexible management structures. However, like any other business, a GmbH must comply with certain legal and accounting requirements. In this article, we will discuss the special features of accounting of a GmbH. In doing so, we will provide a brief introduction into what accounting is and its importance in the corporate environment in Switzerland. Read more
February 5, 2023 | David Merz VAT Revision – What do foreign companies have to consider when selling mail order to Switzerland? Foreign companies shipping products to Switzerland by mail order need to consider Swiss regulations surrounding VAT, import tax, and customs. This article discusses the revisions made to the Swiss Value Added Tax Act in recent years, particularly as they apply to foreign mail-order companies. The article also provides background on the previous tax laws on parcel shipments to Switzerland and the customs and tax regulations that foreign companies must comply with. Read more
July 24, 2022 | David Merz Outsourcing accounting: advantages of outsourcing accounting to an external trustee Proper accounting is essential for a start-up or an SME, companies are therefore faced with the decision to keep their accounting in-house or outsource it. For many startups and small business owners, keeping their accounting in-house is a big cost driver that has nothing to do with their core business and also ties up resources unnecessarily. So what are the exact benefits of outsourcing accounting to an external accounting firm? Read more
June 16, 2022 | David Merz Daily sickness allowance insurance: What employers should consider? We all get ill sooner or later. This is an unfortunate fact that we prefer to not think too much about, but is important to consider when running a business. Employees can and do get ill, which affects their ability to work. This article discusses what employers can and must do in such a situation. We explore the subject of daily sickness allowance insurance and all its aspects. We look at whether such insurance is mandatory, and what obligations the employer has in terms of covering an employee’s wages in the case that there is no insurance. Read more
June 14, 2022 | Marco Schoch Value-added tax (VAT) in Switzerland – How does it work and when does voluntary registration make sense? Anyone who buys something in Switzerland pays VAT. In most cases, this amounts to 8.1% of the product price. The rate is lower for everyday goods and some services are exempt from VAT. Once a business has registered for VAT, it can claim input tax deductions on the services and products it buys, which means the business is reimbursed for the VAT it incurs. In this article, we explain more about VAT and discuss the cases where voluntary subordination makes sense for businesses. Read more
June 13, 2022 | David Merz VAT obligation and fiscal representation for foreign companies in Switzerland Are you a company based abroad and active in Switzerland, or planning to enter the lucrative Swiss sales market soon? Then you should consider enlisting the services of a Swiss fiscal representative. But what is a fiscal representative and why do you need one? In this article, you will find out everything you need to know about fiscal representation in Switzerland, and what you need to consider as a foreign entrepreneur with respect to Swiss VAT. Read more