Switzerland to scrap low-value VAT exemption on e-commerce imports

3 September 2018

From 1 January 2019, the Swiss government will remove the low-value import VAT exemption on goods bought from foreign suppliers.

Currently, the threshold for the exemption is set at CHf 62.50 for most goods and allows importers to purchase goods VAT free from non-resident companies up until this amount.

However, in an effort to remove the unfair advantage that this gives non-resident providers over resident providers of the same goods, the Swiss government confirmed it would remove the low-value threshold from 1 January 2019. Which will mean that non-resident providers will then have an obligation to register and account for VAT on the sale of the low-value goods when their annual sales exceed the CHf 100,000 VAT registration threshold.

The European Union is also proposing a similar removal of its low-value consignment stock relief threshold for 2021, where the current average threshold over the 28 EU member states is €20 per shipment.

LATEST NEWS

France to introduce e-filing for 13th Directive VAT...

From 1 July 2021, non-EU businesses must request 13th Directive VAT refund claims electronically through a fiscal representative established in France. These...

SEE MORE
LATEST NEWS

Norway extends reduced VAT rate to September 2021

Norway has confirmed that the temporary reduced VAT rate reduction, from 12% to 6%, will be extended from 30 June 2021 to 30 September 2021. The reduced VAT...

SEE MORE
LATEST NEWS

Canada: GST to be charged on digital goods and...

From 1 July 2021, the Canadian Revenue Agency (CRA) will introduce Goods and Sales Tax (GST)/Harmonised Sales Tax (HST) on sales of e-commerce goods and...

SEE MORE

Gated Content

The following email providers are not accepted: gmail, hotmail, yahoo. Please use proper company email.