CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Switzerland May Start CbC Exchanges From 2020

Switzerland May Start CbC Exchanges From 2020

by Ulrika Lomas,, Brussels

28 November 2016

Multinationals operating in Switzerland could be required to draw up country-by-country (CbC) reports from the 2018 tax year if the Swiss Parliament approves new proposals put forward by the Federal Council.

On November 23, the Swiss Federal Council adopted a dispatch on the automatic exchange of CbC reports and the federal legislation required for its implementation. CbC reports will provide information on how the turnover generated and the taxes paid by a multinational group of companies are distributed globally.

Only multinationals with an annual consolidated turnover of more than EUR750m (USD792.9m) (or the equivalent in the national currency as of January 1, 2015) will be required to provide CbC reports. The Federal Council expects that around 200 groups resident in Switzerland will be affected.

To implement the new rules, three legal bases must exist. In the first instance, the OECD/Council of Europe Convention on Mutual Assistance in Tax Matters must enter into force. This is scheduled for January 1, 2017, and will be applicable for Switzerland from January 1, 2018. Second, the Multilateral Competent Authority Agreement (MCAA) on the Exchange of Country-by-Country Reports must be implemented. Switzerland signed this agreement on January 27, 2016, and it will now be submitted to Parliament for approval. Finally, the Federal Act on the International Automatic Exchange of Country-by-Country Reports of Multinationals must be passed by Parliament. The Federal Council is submitting this legislation to Parliament.

If Parliament approves the proposals and a referendum is not held, the MCAA and the Federal Act should enter into force at the end of 2017. Multinationals in Switzerland would therefore be obliged to draw up CbC reports from the 2018 tax year. Provided that the relevant legislation enters into force by the end of 2017, multinationals would be able to voluntarily submit country-by-country reports for tax periods before 2018.

The Federal Council expects the exchange of CbC reports with partner states to begin in 2020. The Federal Council will determine the countries with which it wishes to exchange data.

Once the relevant bilateral agreements have been reached, CbC reports will be transmitted automatically on an annual basis to the tax authorities of the countries where affected companies have business units.

TAGS: compliance | tax | business | tax compliance | tax avoidance | Organisation for Economic Co-operation and Development (OECD) | tax authority | agreements | multinationals | legislation | tax planning | transfer pricing | Switzerland | revenue statistics | currency | European Union (EU) | Europe | BEPS

To see today's news, click here.

Leave a comment

Read our Posting Guidelines



Password Reminder

Please enter your email address to receive a password reminder.


Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »

Tax-News+ Updates

Receive FREE daily updates from, straight to your inbox. Register Now!

For a tailored solution, choose to receive selected news updates for your preferred jurisdictions and topics, with our enhanced Tax-News+ subscriber service. Read more...


Stay Updated

Please enter your email address to join the mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.

To manage your mailing list preferences, please click here »