Living in Switzerland
If you are looking for a high quality of life in one of the world’s most economically and politically stable countries, living in Switzerland could provide you with the ideal answer.
Not only will you find yourself at a central hub for travel to over 200 international locations, you will also have access to the beautiful scenery of the Alps and picturesque lakes.
Living in Switzerland
Switzerland is one of 26 countries in the ‘Schengen’ area and a Swiss residence permit will enable you to enjoy full Schengen travel rights.
A country that already offers a unique blend of benefits, Switzerland also offers the extremely attractive: ‘Lump Sum System of Taxation’. As long as you are living in Switzerland for the first time or returning after a minimum 10-year absence, your income and wealth taxes will be based on your living expenses in Switzerland, NOT on your worldwide income or assets. Please contact us to find out more.
Please click into the tab below to view the benefits, the financial obligations and other criteria that might apply:
Articles on living in Switzerland
The following articles cover further aspects on living in Switzerland:
Moving to Switzerland
Switzerland is in the centre of Europe, bordered by; Germany, France, Austria and Italy. It has very close links to the majority of European countries and is a member of the European Free Trade Association (EFTA), but it is not a member of the EU.
Switzerland is divided into 26 cantons, each currently with its own basis of taxation.
Tax Advantages when Living in Switzerland
If an individual has a Swiss work permit, they can become Swiss resident. They must have a job or form a company and be employed by it. It is straightforward for EU citizens over the age of 55, who are not working, to move to Switzerland, as long as they are financially independent.
The ‘Lump Sum System of Taxation’ is applicable for individuals moving to Switzerland for the first time or returning after a minimum ten year absence. No employment can be undertaken in Switzerland, but the individual can be employed in another country and can administer private assets in Switzerland.
The ‘Lump Sum System of Taxation’ bases income and wealth taxes on a taxpayer’s living expenses in Switzerland, NOT on his/her worldwide income or assets.
Once the tax base (living expenses in Switzerland), has been determined and agreed with the tax authorities, it will be subject to the standard tax rate in that particular canton.
Third country nationals (non-EU/EFTA), are required to pay a higher lump-sum tax on the basis of “predominant cantonal interest”. This generally equates to paying tax on deemed (or actual) annual income, of between CHF 400,000 and CHF 1,000,000, and depends on a number of factors, including the specific canton in which the individual lives.