Switzerland has been said to be one of the best places in the world to live in terms of cultural experience and beauty. Many people find it to be an attractive place to live due the positive economic climate, political stability, excellent education and public health systems and of course their enticing tax regime. Any successful relocation to Switzerland requires planning, research and the proper guidance.
Potential residents should be sure to research thoroughly their tax regime and determine which canton will best serve their needs and interests. Once you have considered and determined the canton you which to reside in, you should be sure to obtain the necessary residence permit. In June of 2002, the Swiss government implemented a dual system which varies depending on the origin of the potential resident. This is why it is particularly important to research ahead of time the appropriate actions to be taken prior to your arrival.
Within 8 days of moving to Switzerland, you must report to the registration office where you intend to live. For a foreign individual, it’s important to note that you will be fully subjected to both wealth and income taxation from the date of your original arrival. Establishing residency in Switzerland typically requires that you have spent more than 30 days within the country or you are participating in a gainful activity such as employment. Residents of Switzerland are subjected to both cantonal/ municipal income and wealth taxes, as well as federal income taxes.
There are many different considerations when moving to Switzerland. It’s important to never underestimate the culture shock that could happen upon arrival. Finding a support system in the country is always beneficial to new residents. Ensuring proper planning and research ahead of time on the tax rules and regulations as well as budgeting, will help to ensure success during a move to Switzerland.