News

The federal council has adopted new regulations regarding the offsetting of tax losses for legal entities in Switzerland. Under the new rules, it will be possible to offset tax loss carryforwards against future taxable profits for a period of 10 years. Previously, tax losses could be carried forward and offset for 7 years.

The new law is set to enter into force no later than 2028 and apply to tax losses retroactively, starting from the 2020 financial year.   

https://www.fedlex.admin.ch/eli/fga/2026/23/de

A growing number of Americans living in Switzerland are choosing to renounce their U.S. citizenship, driven by a combination of financial pressure and political dissatisfaction. The U.S. system of worldwide taxation—especially the IRS treatment of Swiss pension contributions—creates significant compliance burdens and costly double‑taxation risks for expats. At the same time, many Americans feel increasingly disconnected from the polarized direction of U.S. politics and find Switzerland’s stability, direct democracy, and social systems more aligned with their values. For these individuals, giving up their U.S. passport is seen as a permanent but liberating step toward fully integrating into Swiss life. 

https://swissobserver.ch/fr/news/americans-renouncing-us-passports-switzerland/ 

IFRS 18 replaces former article IAS 1 and has significant impact on the presentation and the disclosures in the financial statements. The article brings about the most significant revision of IFRS income statement in decades.

The income statement must now be strictly divided into three categories (operating, investing and financing). Disclosure notes must include management-defined performance measures (MPMs) - such as EBITDA. MPMs must be reconciled and explained in detail. 

https://www.ifrs.org/issued-standards/list-of-standards/ifrs-18-presentation-and-disclosure-in-financial-statements/

Swiss GAAP FER 16 is one of the most significant changes in Accounting according to Swiss GAAP FER in years. The article governs the presentation of economic obligations and benefits arising from pension funds. The aim of the article is to present the retirement provision in the financial statements in a transparent and realistic manner. 

Pension-related expenses must be split into a personnel expenses component (above EBIT) and a financial component (below EBIT). This methodology is reminiscent of US GAAP. A schedule of retirement provisions - in the form of a roll forward table - must be presented in the notes. In addition, the provision-related expenses must be broken down in detail in the notes. 

https://www.fer.ch/standards/swiss-gaap-fer-16-vorsorgeverpflichtungen/

ASU 2024-03 requires publicly listed companies to break down operating expenses in the notes and to present various cost components (employee remunerations, depreciations e.g.) separately.

https://www.fasb.org/Page/Document?pdf=ASU%202024-03.pdf&title=ACCOUNTING%20STANDARDS%20UPDATE%202024-03%E2%80%94Income%20Statement%E2%80%94Reporting%20Comprehensive%20Income%E2%80%94Expense%20Disaggregation%20Disclosures%20(Subtopic%20220-40):%20Disaggregation%20of%20Income%20Statement%20Expenses

The new Swiss Anti-Money Laundering Act requires Swiss corporations, limited liability companies and foundations to identify their ultimate beneficial owners. A new transparency register - which is not publicly accessible - has been established for this purpose.  

https://www.sif.admin.ch/en/anti-money-laundering-act-amla

https://www.transpareg.admin.ch/en

A side by side package has been published regarding the implementation of the global minimum tax in accordance with OECD guidelines. The package includes, among other things, the extension of the transitional CbCR safe harbour for the years 2026 and 2027. However, the tax rate must be at least 17% during those years.   

https://www.oecd.org/en/topics/sub-issues/country-by-country-reporting-for-tax-purposes/guidance-handbooks.html