Publications by Dr. Roland Böhi
Tax consequences of coronavirus for employees and companies
The Corona Pandemic confronts us all with new and unknown challenges. In order to make a small contribution to overcoming the current situation, the Tax Team describes certain tax implications of the coronavirus for both employees and employers and summarises the latest tax measures of the Swiss Federation and the cantons in connection with the coronavirus.
New article about a tax-efficient reorganization of real estate from the business unit which is for sale
In his latest article our tax partner Roland Böhi explains how an entrepreneur can reorganize his business with real estate so that the tax consequences are minimised when the business unit is subsequently sold and the real estate portfolio is still available to him as a capital investment. The article was published in Neue Zürcher Zeitung (German).
Additional deduction on research and development activities
The R&D super-deduction is an attractive tax measure which is not only favourable for companies but will also promote Switzerland as an international hub for innovation. Our publication deals with the key aspects of this tax measure.
The abolishment of holding company status: Measures to mitigate the tax burden
The Federal Act on Tax Reform and AHV Financing (TRAF) abolished cantonal tax privileges for holding, domicile and mixed companies. Roland Böhi and Lukas Scherer of Prager Dreifuss analyse the impact of the reform and assess the transitional measures set up to alleviate an additional tax burden.
Tax-exempt private capital gains subject to increasing restrictions
Generally, private capital gains are tax-exempt in Switzerland. However, this principle is subject to restrictions which seem to be getting more and more strict.
Tax loss allocation in real estate companies – clarification by the Federal Supreme Court
Tax losses incurred by a real estate company in secondary tax domiciles are to be borne by the primary tax domicile in the first place. Losses exceeding the profit at the primary tax domicile are to be allocated proportionally to the other secondary tax domiciles. The Federal Supreme Court recently made a new ruling.
Amended protocol of double taxation agreement between Switzerland and USA
On 20 September 2019, Switzerland and the USA ratified the protocol of amendment of their double taxation treaty. The implemented protocol is intended to mark “a milestone” in the cross-border tax relationship between the two countries and permits now the full exchanges of information between Switzerland and the US.
Tax Newsletter September 2019 – IFA country report 2019: Analysis of Swiss interest deductibility restrictions from the perspective of BEPS Action 4
As part of the IFA Congress 2019 held in London, the authors discuss BEPS Action 4 (interest deductibility) and its implementation in Switzerland. Interest limitation rules, as the ones proposed in BEPS Action 4 or ruled in the ATAD of the European Union, have not been discussed intensively in Switzerland. Nevertheless, Switzerland has known thin capitalisation rules for more than 20 years and has established own regulations to prevent base erosion and profit shifting. As far as the authors observe, there is no intention by the Swiss legislator to change the current rules and implement new ones.
Tax Summer Update: Revised Swiss corporate tax reform and required actions to benefit
The Swiss electorate recently approved the long awaited Swiss Corporate Tax overhaul. In this IFLR article, the Prager Dreifuss tax team describes its various measures and how the tax reform will be implemented on a cantonal level.
New ruling regarding joint and several tax liability of directors
The tax team discusses a new ruling of the Swiss Federal Supreme Court regarding the joint and several tax liability of board members in case of a factual liquidation and its impact.
Tax Newsletter April 2019: Implementation of Multilateral Instrument (MLI) in Switzerland
As part of the BEPS Project, the OECD has developed the Multilateral Instrument (MLI) to efficiently modify a large number of bilateral tax treaties. Switzerland has signed the MLI and it has been ratified by the Parliament on 22 March 2019.
Avoidance of tax costs in corporate successions
Set the course on time in order to avoid tax costs in corporate successions
International Debt Financings of Swiss Headquartered Groups Become Even More Attractive
International debt financings of Swiss headquartered groups become even more attractive pursuant to a recently announced clarification of the practice applied by the Swiss Federal Tax Administration
Tax Newsletter December 2018: Taxation of blockchain and crypto currency
The tax team discusses a fictional case of an initial coin offering (ICO) from a Swiss tax perspective.
Tax Newsletter November 2018: Revised Swiss corporate tax reform
Revised Swiss corporate tax reform will keep Switzerland a top corporate location – a brief overview.
Tax Newsletter March 2018: Radio-Television fee for companies as of 2019
As of 1 January 2019, companies subject to Swiss VAT will have to pay an annual device-independent radio-television fee. The annual fee depends on the companys’ turnover and is CHF 35’590 at most.
Tax Newsletter February 2018: Reform of the U.S. Tax Regime – The Swiss Perspective
Prager Dreifuss takes a closer look at international linkages of the recent U.S. tax reform and analyzes the major challenges ahead for individuals as well as multinational corporations in Switzerland.
Tax Newsletter December 2017: Taxation of Initial Coin Offerings in Switzerland
Prager Dreifuss breaks down the taxation models applied to Initial Coin Offerings to help give you a better sense of the current Swiss fiscal regulatory spectrum.
Tax Newsletter November 2017: Country-by-Country Reporting for Multinational Corporations and Automatic Exchange of Information of Financial Data as of 1.1.2018
As of 1.1.2018, multinational corporations will be obliged to generate country-by-country reports. Further, certain financial data will be subject to the automatic exchange of information as of 1.1.2018.
Newsletter October 2017: New Provisions as of 1.1.2018 in the Swiss Federal Act on Value Added Tax
Revision of the Swiss VAT: Switzerland expands VAT liability for foreign companies and e-commerce providers and reduces the VAT rate by 0.3%.
Newsletter May 2017: Flat-rate Taxation for high-net-worth individuals
Foreign nationals resident in Switzerland can be taxed on a lump-sum (flat-rate) basis if they are not gainfully employed in Switzerland. This taxation is based on the taxpayers’ actual annual living expenses rather than on their income and assets and offers attractive tax planning opportunities.
Newsletter April 2017: Spontaneous exchange of information of tax rulings as of 1.1.2018
Switzerland implements BEPS action point 5 and will exchange particular tax ruling information as of 2018 with partner states by means of spontaneous exchange of information.
Newsletter March 2017: Double Taxation Treaty Switzerland – Liechtenstein, entered into force on January 1, 2017
The first tax treaty between Switzerland and the Principality of Liechtenstein simplifies the cross-border business from a tax point of view.
Newsletter – February 2017: 30-day Notification Period for Intercompany Dividends Eased – Assessment of Repayment Claims Relating to Withholding Taxes Paid and Default Interests Paid is Necessary
30-day notification period for intercompany dividends eased – assessment of repayment claims relating to withholding taxes paid and default interests paid is necessary
Restructuring Merger with minority Shareholders
Dr. Roland Böhi explains the tax implications of a restructuring merger between sister companies in a situation where minority shareholders now hold shares in the merged company in exchange for restructuring measures.
Undercapitalization or Deemed Equity?
Dr. Roland Böhi analyses the Swiss legal basis to prevent undercapitalization. Referring to a recent decision of the Swiss Supreme Court, he demonstrates inconsistencies between legislation and tax practice which result from the legal obligation to make an economic distinction between equity and debt financing. On the basis of the Best Practice of the OECD/G20 within the framework of the BEPS Action 4 measures, he shows if and how a so-called “interest barrier” could be a viable remedy in Switzerland.
Indirect Financial Loss within a Corporate Group
The article of Dr. Roland Böhi discusses which risks arise from an indirect distribution of profits of a subsidiary to its grandparent company or to an affiliate. In particular, the article focuses on tax consequences for the Swiss tax subjects.
Employee Participations – Qualification of the Remuneration on the Disposal of Shares
In practice, there is often a problem of a satisfactory distinction between tax-exempt private capital gains and taxable income from taxable employment in case of disposal of employee participations held as private assets. Dr. Roland Böhi presents the general basics of employee participations and elaborates on the tax issues surrounding this topic.
Merger Gains and Losses: Accounting and Tax Issues Part Two
In the Steuerrevue, Dr. Roland Böhi explains how merger gains and –losses are managed in cases of an up-stream merger, and down-stream merger and a merger of two sister companies. He expands on accounting, commercial law and tax law issues.
Merger Gains and Losses: Accounting and Tax Issues Part 1
In the Steuerrevue, Dr. Roland Böhi explains how merger gains and –losses are managed in cases of an up-stream merger, down-stream merger and a merger of two sister companies. He expands on accounting, commercial law and tax law issues.
Updated Review on the Determination of Deemed Equity
The distinction between equity capital and loan capital is still relevant from a tax point of view when choosing external financing. Since 1995, the reclassification from loan- to equity capital is regulated by law. The administrative application of this legislation is challenging and bears pitfalls when applied in specific cases. In this essay, Dr. Roland Böhi demonstrates how deemed equity can appropriately be assessed.