On Friday March 20, 2020, the Swiss Federal Council announced a series of measures to mitigate the economic impact of the COVID-19 crisis, a number of which are intended to support companies facing a lack of liquidity due to the current economic paralysis. This includes tax-related measures. Although, the primary beneficiaries of the measures are small and medium-sized businesses, these measures are expected to support the entire economy.
Tax measures
Enterprises will be allowed to postpone taxrelated payments without being subject to interest until December 31, 2020. This applies to VAT payments and custom duties (from March 21, 2020), as well as to federal income tax (from 1st March).
The cantons have not announced whether similar measures will apply at the cantonal level, but some cantons have already enacted other taxrelated measures. Thus, businesses should see whether measures have been enacted in their canton.
Other measures
Aside from the tax-related measures, the Confederation also announced a guarantee programme to facilitate bank lending, as well as the possibility for companies affected by the COVID-19 crisis to defer payment of social security contributions. Additionally, the measures permit companies to apply for working time reductions and unemployment benefits.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
