Fiscal special arrangements
Privileged taxation
In contrast to the direct federal tax that only provides a restricted privilege for the Holding company, the tax law of Zug treats certain companies - as already mentioned - in a privileged manner depending on the activities.
Domicile company
Domicile companies only distinguish themselves though their registered office is in the Kanton Zug. These companies do not really exercise any business in Switzerland especially they do not have any staff or their own offices.
Quasi-public company
A foreign company exclusively or mainly doing its business abroad will be treated in a privileged manner being liable to pay tax on a quota of the net profit only.
The disbursements of the profit of a company, e.g. dividend payments and other types of profit disbursements are subjected to withholding tax of the federal government. This tax may be reimbursed if the double tax agreement between Switzerland and the domicile country of the recipient provides for this.