Tax relief for non-profit organisations

Markus E. Kronauer, Christina Rinne, Oliver Erni – Special supplement “Rechtsguide 2020” in the Tagesanzeiger

In the special supplement “Rechtsguide 2020”, which appeared in the Tages-Anzeiger on 04.09.2020, the NKF tax law team addresses the tax relief for charitable foundations as a result of VAT practice changes of the Swiss Federal Tax Administration (FTA) with retroactive effect.

Non-profit organisations which had to self-asses VAT regarding the procurement of services linked to international aid programs are – based on the new VAT practice of the FTA – to benefit from VAT relief. Our NKF tax experts recommend to assess as to whether non-profit organisations which are engaged in international aid programs, would be entitled to recover self-assessed VAT under the Swiss Reverse Charge mechanism for previous tax periods taking into account the statute of limitations.