Doing Business in Zug

Zug – moving forward. An attractive residential region paired with preferential business opportunities, the Canton of Zug offers a broad, but focused mix of sectors, making it a great place to be.The canton’s central location, proximity to Zurich International Airport and the established infrastructure are just some of the attractions which continue to convince major companies to establish headquarters in Zug.
 

The highly motivated, innovative and creative Economic Promotion team led by Beat Bachmann has been set up to answer all your questions in regard to the Canton of Zug as a location for your business. They are a 'One-Stop-Shop' and care for companies already situated in the Canton of Zug and support those interested in moving into the canton. Their services address you directly as an entrepreneur. The Economic Promotion Office can advise you on setting up a company in the Canton, assist you in locating business premises and help you to find the right contacts in the area. They see themselves as a team of consultants that provide client-oriented services. In partnership with you, they are non-bureaucratic, engaged, and professional. Their major objective is to provide a business-friendly mentality and environment because happy companies are the best ambassadors for a thriving business location. Their services are free. For more information on any issues involving doing business in the Canton of Zug, please do not hesitate to contact them

 

You can also download an informative publication from the Kanton of Zug here:
DOING BUSINESS

 

Department of Economic Affairs
Economic Promotion
Aabachstrasse 5
6301 Zug
T. + 41 41 728 55 04
F. + 41 41 728 55 09
economy@zg.ch


Please see the Finance & Legal section of the Services Guide for other partners to help you get started in business.

 

Corporate Swiss radio and TV licence fee


Liability for the new fee

From 1 January 2019, a new device-independent radio and TV fee will be collected from Swiss households and Swiss domiciled companies registered for VAT. It replaces the previous fee, which depended on the number of devices in use and was abolished at the end of 2018.
 

The following businesses are subject to the new fee
 

  • with a registered office, domicile or permanent establishment in Switzerland
  • which are entered in the Swiss VAT register and
  • have a total annual turnover of CHF 500,000 (excl. VAT) or more.


Foreign companies with only a Swiss VAT registration (i.e. without domicile or permanent establishment in Switzerland) are not subject to the new fee.


Swiss Federal Tax Administration (FTA) was nominated as the collecting agency, since the fee is linked to the turnover declared in the VAT return.


The total turnover declared under code 200 of the VAT return (less reductions of the consideration ) is decisive, i.e. the worldwide turnover regardless of the VAT treatment (i.e. a company declaring only zero-rated turnover from exports or supplies abroad and no Swiss turnover is subject to the new fee as well).


VAT group

If companies are registered for VAT as a VAT group, the new Radio and TV licence fee is calculated based on the declared (consolidated) group turnover, i.e. without group internal charges, since they are not subject to Swiss VAT.


It might be beneficial for clients to form a VAT group to optimize the fee. Not every single entity /member of the Swiss VAT group receives an invoice based on its turnover, only one invoice is received (maximum fee for the VAT group amounts to CHF 35’590 – see also below for fee categories).


Fee groups

Companies under a single management can form one corporate fee group. A corporate fee group consists of at least 30 companies and is liable to pay the fee instead of its members. The total turnover of the individual group members is added together to assess fee liability and determine which tariff category is applicable. The VAT regulations for group taxation apply for joint liability, formation, changes in holdings, dissolution and representation. However, the group is valid only for the corporate fee liability (and not for VAT).


Tariff categories

The assessment of the licence fee is normally based on the previous year's total turnover. During the first year of collection (i.e. FY 2019), assessments will be based on the total turnover declared in 2017 (i.e. summarized turnover declared in box 200 for Q1 – Q5/2017). For FY 2020 turnover declared in FY 2019 is decisive and so on.
 

Tariff categories are as follows:
 

Turnover (CHF)

Tariff/year (CHF)

Up to 499‘999

0

500‘000 – 999‘999

365

1‘000‘000 – 4‘999‘999

910

5‘000‘000 – 19‘999‘999

2‘280

20‘000‘000 – 99‘999‘999

5‘750

100‘000‘000 – 999‘999‘999

14‘240

1‘000‘000‘000 or more

35‘590


It is  generally not possible to apply for a reduction of the fee, e.g. in case based on the prior year’s turnover the company finds itself in a higher tariff category than it would be in compared to the current year’s turnover.

There are, however, some exceptions:
 

  • In case of turnover adjustments that result in a different tariff level an application for amendment of the fee is possible.
  • Companies with a small profit (less than CHF 3’650) that are falling into the first category (turnover between CHF 500’000 and 999’999) can claim for refund of the fee. (Please note that the fee still has to be paid first.)  

 


In the first year of Swiss VAT registration, no fee will be assessed (since no turnover of a previous year is available). However, if a company de-registers from Swiss VAT it is still liable for payment of the fee for the whole year based on the previous year’s turnover.


Invoice

Companies will automatically receive an annual bill from the Federal Tax Administration. Swiss FTA already sent the first bills in January 2019. Payment is due within 60 days after the invoice was issued. In case of late payment, interest will be assessed.


More information can be found on the homepage of Swiss FTA:

 

Tariff categories are as follows:
 

Turnover (CHF)

Tariff/year (CHF)

Up to 499‘999

0

500‘000 – 999‘999

365

1‘000‘000 – 4‘999‘999

910

5‘000‘000 – 19‘999‘999

2‘280

20‘000‘000 – 99‘999‘999

5‘750

100‘000‘000 – 999‘999‘999

14‘240

1‘000‘000‘000 or more

35‘590




You can find more information directly on the website of the Swiss FTA under the following link
 

This section has been provided by our Sponsor PriceWaterhouseCoopers

 

Corporate MICE Services


Zug Tourism is an information hub for activities and events. We can easily provide you with a clear overview, as well as search for specific information, in response to your inquiry. We have contacts to competent service providers and can put together an offer tailored to meet your needs. All the information you need from a single source. We offer 360-degree service for your event.
 

Our Services
- Point of contact to group event organisers
- Organisation of private tours in 9 languages or an individual programme
- Organisation of transfers (individuals or groups) with local transport companies
- Assistance in finding a suitable event location and caterer
- Accommodation recommendations and management of hotel room allocations
- Information stand on site during your event
- Organisation of small and large teambuilding events
- Zug give-aways from the Zug Shop. Great local gift ideas

Zug Tourismus
Bahnhofplatz
6300 Zug
Tel. +41 (0)41 723 68 00
mice@zug.ch
www.zug-tourismus.ch

 

Corporate taxation - this section is coming soon

This section is coming soon.