How does Swiss VAT (MWST/TVA/IVA) registration and filing work for businesses?

Swiss VAT is called MWST in German, TVA in French, and IVA in Italian. Businesses with annual taxable turnover exceeding CHF 100,000 must register with the FTA within 30 days of reaching the threshold. Voluntary registration is possible below the threshold, which can be advantageous when input tax credits on purchases exceed the VAT collected.

The standard rate since January 2024 is 8.1%. A reduced rate of 2.6% applies to everyday necessities including food, beverages (non-alcoholic), medicine, books, and newspapers. The special rate of 3.8% applies to overnight accommodation. Most financial services, healthcare, education, and cultural events are exempt, meaning providers cannot charge VAT but also cannot reclaim input tax.

Filing is done electronically via the FTA portal (MWST-Abrechnung). Most businesses file quarterly; small businesses under CHF 5 million turnover can opt for annual filing with quarterly payments. The net tax rate method (Saldosteuersatz) simplifies accounting for eligible small businesses by applying a sector-specific flat rate rather than tracking all input and output VAT individually. Late registration or underpayment triggers interest surcharges.

This is general information only, not professional tax advice. Consult a qualified tax professional for your specific situation.