At the meeting held on 16.10.2024, the Federal Council decided to bring the “Federal Act on the Taxation of Teleworking” into force on 1 January 2025. In this context, the document amending the Withholding Tax Ordinance (QStV) with effect from 1 January 2025 has also been published.
In a previous blog, I mentioned the employer certificate in connection with employees from France. With the publication of the amendment to the Withholding Tax Ordinance (available in German, French and Italian) https://www.newsd.admin.ch/newsd/message/attachments/90057.pdf, companies receive the official information from the authorities and can check whether they have the required information available in conjunction with the explanations on the amendment to the Withholding Tax Ordinance (available in German, French and Italian) https://www.newsd.admin.ch/newsd/message/attachments/90058.pdf.
If these preparations have not yet been made, this is the time to do so. From January 2025, employees will be able to request the certificate from their employer when they leave the company. With the certificate, the new employer should be able to assess to what extent and to what extent teleworking can be granted. Particular attention must also be paid to temporary assignments (travelling days in France and third countries). Even if an employer does not authorise teleworking, these travel days can have considerable consequences for the company’s payroll and administration. For cases in which the cross-border commuter agreement applies, overnight stays in Switzerland must also be determined. In addition to work-related reasons, this also includes private reasons.
The information is much more detailed compared to the data exchange with France from 2025. When exchanging data with France at the beginning of 2026 for 2025, a teleworking rate or teleworking days is required, which reflects the result of the various pieces of information. The employer attestation is therefore a good pre-test for the correct transmission of information to the competent withholding tax authorities at the beginning of 2026. In contrast to the data exchange with France, the employer attestation does not contain any salary data.
The challenges are particularly related to part-time employment and the proratisation of the maximum annual limits. In addition, employers must be informed all the more promptly of a change of residence from and to France by their employees. The certification period may only take into account the period with limited tax liability in Switzerland (residence in France) and therefore does not always correspond with the employment period in the current calendar year.
Who has to issue the employer’s certificate?
All employers in Switzerland with employees resident in France (few exceptions in the public sector).
In addition, an employer certificate form has been prepared, which should be published soon for the specific implementation of the Withholding Tax Ordinance. Companies with a large number of employees resident in France should consider to what extent they can automate the creation of the certificate so that they do not have to complete it manually.
Is this information also relevant for social security?
Depending on the circumstances, the information required for correct social security contributions may differ from that needed for tax purposes. In connection with teleworking, the impact of teleworking on social security should always be checked. This leads to a high level of complexity. Employees must therefore be instructed very precisely on how to record the various details.
Other relevant announcements from the authorities since my last blog for 2025:
Publication of the circular on withholding tax rates dated 8 October 2024 (available in German, French or Italian) https://www.estv.admin.ch/estv/de/home/direkte-bundessteuer/fachinformationen-dbst/rundschreiben.html
The minimum BVG interest rate remains at 1.25% for 2025.
In addition, the BVG pensions of the mandatory second pillar will be increased as of 1 January 2025.
Due to the current situation, the webinar Employees resident in France – challenges of withholding tax and reporting will take place in German on 29 October 2024.
Due to its relevance, this webinar in German will be repeated on 9 January 2025.
Link to all seminars in German: https://www.zulaufgmbh.ch/veranstaltungen-workshops/
