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New VAT rates in Switzerland

Swiss voters approved a VAT increase to stabilise the AHV pension system. From 1 January 2024 new VAT rates apply.

Martin Moosbrugger 4 min read

Swiss VAT rises at the turn of the year

From 1 January 2024 the following VAT rates apply in Switzerland:

  • Standard rate: 8.1 % (previously 7.7 %)
  • Reduced rate: 2.6 % (previously 2.5 %)
  • Accommodation rate: 3.8 % (previously 3.7 %)

The decisive rate is the date the service is rendered. Services before 1 January 2024 are billed at the old rate, services after at the new. For periodic services (project contracts, subscriptions, maintenance contracts) the invoice should split the remuneration into the period before and after 1 January 2024; otherwise the entire service is billed at the new rate.

VAT change in teamspace

We recommend rolling out the change via price lists. Required user rights:

  • Configuration right “Price lists”
  • “Finance editor (access to all documents independent of project rights)”
  • “Finance editor (access to all documents independent of document rights)“

Step 1 — Stocktake

In Configuration > Finance > Price lists you find the existing price lists. We recommend running multiple price-list changes together with our consulting team.

Step 2 — Create the new price list

Copy the current Swiss price list and give the copy a meaningful name. In the Positions tab, change the VAT rate for the included articles via the “Master data” bulk action — set the new value in the VAT rate field. Repeat for the reduced rate where applicable.

Step 3 — Default price list per organisation

Open the Organisations list, filter by “Standard price list = old price list”. Activate the bulk select, choose “Master data”, and in “Customer aspects” set “Standard price list” to the new price list. The new price list is now the default for these organisations and applies to future documents.

Step 4 — Existing orders

For existing orders, activate the bulk select and choose “Switch price list”. Pick all orders to convert and select the new price list. Important: do not tick the boxes for Prices, Texts or Discounts. After “Execute” the price list is updated in all selected orders; new invoices from these orders use the new VAT rates.

You may want two versions of certain document templates temporarily, or stick with one template and adjust the price list per document.

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