Key takeaways
- From January 1, 2024, Switzerland’s VAT rates will increase to 8.1% (standard), 2.6% (reduced), and 3.8% (accommodation).
- The date of supply determines which rate applies — transactions completed before December 31, 2023, use the old rates, while those completed after use the new ones.
- Businesses should update VAT codes, invoices, and contracts to reflect the new rates and ensure compliance with Switzerland’s 2024 VAT rules.
In short: Switzerland raised its VAT rates from January 1, 2024. The standard rate rose from 7.7% to 8.1%, the reduced rate from 2.5% to 2.6%, and the accommodation rate from 3.7% to 3.8%. The rate that applies depends on the date of supply. A new VAT return form was used from July 1, 2023.
Update (October 2026): The Swiss Federal Tax Administration confirms these rates have applied since January 1, 2024. They are still the current Swiss VAT rates. Since January 1, 2025, electronic platforms that facilitate sales of goods are also treated as the supplier for Swiss VAT.
What are the new Swiss VAT rates from 2024?
From January 1, 2024, new VAT rates apply in Switzerland, including the Municipality of Liechtenstein:
- New standard rate: 8.1% (an increase from 7.7%)
- New reduced rate: 2.6% (an increase from 2.5%)
- New accommodation rate: 3.8% (an increase from 3.7%)
Swiss voters approved the higher VAT rates in a public vote at the end of 2022. The Swiss Federal Tax Administration formally announced them earlier in 2023.
What changed on the Swiss VAT return?
The Swiss Tax Authorities released an updated periodic VAT return form to prepare for the new rates. The change is only there to handle the new VAT rates.
The revised Swiss VAT return has separate sections for each set of rates. You report transactions at the current rates (valid until December 31, 2023) apart from those at the new rates.
The updated VAT return will be used from July 1, 2023. This lets businesses adjust their reporting early. It also helps them show each transaction at the right VAT rate.
The Swiss Tax Authorities have also released official guidelines on the transitional rules. These cover how the new VAT rates apply, partial payments, prepayments, continuous supplies, etc.
Which Swiss VAT rate applies to a supply?
The date or period of the supply decides which Swiss VAT rate applies, not the invoice date or payment date. Supplies fully made by December 31, 2023, use the current rates. Supplies made from January 1, 2024, onwards use the new Switzerland VAT rates.
Some invoices cover supplies made in both 2023 and 2024. In that case, the invoice should clearly show the date or period and the amount for each period. Split these amounts by the rate that applies.
If you don't split this information on the invoice, all supplies on it will be subject to the new Swiss VAT rates.
How do partial payments and continuous supplies work?
Partial payments, invoices and advance payments follow the date of the supply. Those for supplies completed before December 31, 2023, should be invoiced at the current Switzerland VAT rates.
Partial payments for supplies made from January 1, 2024, onwards must be invoiced at the new VAT rates. Note that the Q3 2023 VAT return form will already include the new rates.
Some periodic or continuous supplies span both the current and new Swiss VAT rate periods. For these, you must apply the pro rata temporis principle to split the supplies by period.
For example, take a 3-year maintenance contract covering 2023, 2024, and 2025. The part relating to 2024 and 2025 should be invoiced at the new rates.
Returns and cancellations of supplies use the VAT rate that applied at the time of the first supply.
How should your business prepare for the Swiss VAT rate change?
If your business operates in Switzerland, it's recommended that you:
- Set up extra tax codes for supplies at the current VAT rates and those at the new rates.
- Review inbound and outbound transactions that the Swiss VAT rate change may affect. Examples include acquisition tax, leasing and rental contracts, and commission arrangements.
- Review your VAT compliance guidelines so they match the new VAT return and rates (available from Q3 2023).
- Review invoice templates, contracts, and other key documents. Make sure they show the new rates from January 1, 2024, with care for prepayments, continuous supplies, etc.
By following these guidelines, businesses should be able to assess how the Swiss VAT rate changes affect them and act on it.
What has changed in Swiss VAT since 2024?
The rates have not changed again, but other rules have. These changes took effect on January 1, 2025, according to the Federal Tax Administration:
- Platform taxation: A platform that brings a seller and a buyer together to conclude a contract is deemed the supplier towards the buyer. This covers platforms based in Switzerland and abroad.
- Cut-off date: The rule applies to contracts concluded on a platform from January 1, 2025. Contracts concluded up to December 31, 2024, are not covered, even if delivery happens later.
- Small consignments: Suppliers of low-value consignments exempt from import tax may become liable for VAT. This applies if they made at least CHF 100,000 of such deliveries in the previous 12 months and expect to continue.
- Menstrual hygiene products: These moved to the reduced rate of 2.6%.
What does this mean for businesses selling into Switzerland?
Use 8.1%, 2.6% or 3.8% for all supplies made today. Only corrections to supplies made before 2024 still need the old rates.
If you sell through an online marketplace, check whether the platform now accounts for Swiss VAT on your sales. If you ship low-value parcels directly, review your Swiss sales against the CHF 100,000 figure. Our Swiss VAT guide covers registration and filing.
How Taxually handles this
Taxually’s CrossTax handles VAT registration, VAT, OSS and IOSS returns and fiscal representation in the countries you sell into, and checks your sales data against 250+ validation rules before each filing. OneTax then pays every tax authority with one bulk payment in your chosen currency.
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Frequently asked questions
What are the new Swiss VAT rates for 2024?
From January 1, 2024, Switzerland’s VAT rates will increase as follows: the standard rate rises to 8.1%, the reduced rate to 2.6%, and the accommodation rate to 3.8%. These updates apply to all businesses operating in Switzerland and the Municipality of Liechtenstein.
When do the new Switzerland VAT rates apply?
The new VAT rates apply based on the date or period of supply. Transactions completed by December 31, 2023, remain under the old rates, while those supplied on or after January 1, 2024, must use the new Swiss VAT rates.
How should businesses prepare for the Swiss VAT rate change?
Businesses should update their VAT reporting systems, invoice templates, and contracts to reflect the new rates. They should also review transactions that span 2023 and 2024 to ensure correct VAT allocation and avoid overcharging or underreporting.
What is the current VAT rate in Switzerland?
The standard Swiss VAT rate is 8.1%. The reduced rate is 2.6% and the special rate for accommodation is 3.8%. These rates have applied since January 1, 2024.
Do online platforms collect Swiss VAT?
Yes, in many cases. Since January 1, 2025, a platform that brings sellers and buyers together to conclude a sale of goods is deemed the supplier for Swiss VAT.
