What is the average effective corporate tax rate in Switzerland?

KPMG: 2025 average effective rate is 14.4%. Combined federal, cantonal and communal rates range from 11.9% to 20.5% depending on canton/commune.

Which Swiss canton has the lowest corporate tax?

Transforma shows Buchberg (Lucerne) at 11.04% as the lowest. Other low-tax options: Zug 11.9%, Wollerau (Schwyz) 11.75%, Nidwalden 11.97%, Obwalden 12.74%.

How will the new global minimum tax affect my small business in Switzerland?

The 15% minimum applies only to groups with consolidated revenue ≥€750m. SMEs below the threshold are not subject to Pillar Two and continue to face local rates of ~11.9%–20.5%.

Is Switzerland still a low-tax country for corporations after the 2025 reform?

Yes. Average effective CIT is 14.4%, below the global average. Pillar Two sets 15% floor for large MNEs, but most businesses benefit from 11.9%–20.5% cantonal rates and incentives.

How are holding companies taxed in Switzerland?

Holding companies are taxed like others but can get participation exemption (≈95% on qualifying dividends) and reduced capital tax. From 2024, groups ≥€750m may face top‑up to 15%.

What is the process for a VAT refund for businesses?

Non‑resident businesses appoint a Swiss fiscal rep, file form 1222 with invoices and home‑tax confirmation, claim within 6 months after year‑end, min CHF 500. Since 1 Jan 2025, digital copies accepted.

17.12.2025

Corporate taxes in Switzerland

Switzerland's corporate tax landscape in 2025 presents a nuanced picture. While the OECD Pillar Two reform introduces a 15% floor for large multinationals, the majority of businesses continue to benefit from one of Europe's most competitive tax environments.

Taxes in Switzerland

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