Swiss Federal Tax Administration Notes Possible Change in VAT Rates from 2018 Depending on Referendum

On 24 February 2017, the Swiss Federal Tax Administration published a notice on changes in VAT rates from 1 January 2018. The notice concerns the VAT rate changes scheduled to take effect 1 January 2018, including:

• The expiration of the increases introduced in 2011 for supplementary financing on 31 December 2017; and
• The implementation of the increases for railway infrastructure financing from 1 January 2018.

These set changes will result in a change in rates from 8% (normal rate), 3.8%…