VAT
Within the scope of business activities it should be considered that the VAT is payable on the sales effected through domestic deliveries and services. The liability to pay tax exists from domestic sales amounting to at least 75'000 CHF per year.
The standard rate of 7.6 per cent VAT is low compared to the international level. For certain items and service (e.g. newspapers, medicines, foods and beverages etc.) the rate is 2.3 per cent. Sales of goods and services which are exported to foreign countries are tax-exempted.
As for other indirect taxes and consumer contributions the collection of the Value Added Tax (VAT) is reserved for the federation. To reduce the administrative efforts, very small enterprises as well as certain goods and services are excluded from the VAT.
Due to the fact that the main attention is subjected to the direct taxes, the maximum VAT rate is 7.6 per cent, which is the lowest VAT burden European-wide.