Swiss VAT changed in 2024 with the AHV21 reform. If you haven't yet updated your invoicing parameters, here are the key facts to stay compliant in 2026.
Swiss VAT rates in 2026
Since 1 January 2024, the Swiss VAT rates are:
- Standard rate: 8.1% — applies to the vast majority of commercial goods and services
- Special rate: 3.8% — reserved for accommodation services (hotels, Airbnb, tourist accommodation)
- Reduced rate: 2.6% — for food (excluding alcohol), medicines, newspapers, books, magazines
These rates replaced the previous ones (7.7%, 3.7% and 2.5% respectively). For multi-year contracts, check which rate applies to each service based on its delivery date.
Registration threshold and sign-up
VAT registration is mandatory from CHF 100,000 of taxable annual turnover (art. 10 VAT Act).
Below this threshold, you are exempt and invoice without VAT. But you can register voluntarily if your professional purchases generate significant recoverable input tax.
Registration is done with the FTA (Federal Tax Administration) via their online portal. You receive a VAT number in the format CHE-xxx.xxx.xxx MWST within 2-3 weeks.
Note: if you exceed the threshold during the year, you must register within 30 days.
Filing frequency and methods
The frequency of VAT filing depends on your turnover:
- Monthly or quarterly: available for most taxpayers
- Semi-annual: available if turnover < CHF 3 million and tax credit < CHF 150,000/year
Two accounting methods are available:
- Effective method: you declare actual VAT on each invoice. More precise but more accounting work.
- Net tax rate method: you apply a flat rate per industry. Simplifies accounting. Available if turnover < CHF 5.02 million.
Pli automatically generates a VAT summary per period, compatible with the effective method.
Showing VAT on your invoices
On every VAT-liable invoice, you must show:
- Your VAT number: CHE-xxx.xxx.xxx MWST (format with dots and spaces)
- The net amount of the service
- The VAT rate applied (e.g. 8.1%)
- The VAT amount in CHF
- The total incl. VAT
If you invoice at different rates on the same invoice (e.g. standard service + accommodation), list each rate separately.
VAT on services to clients abroad
Goods exports and certain services to foreign clients may be exempt from VAT or zero-rated. The rules are complex depending on the nature of the service and the location of the recipient. When in doubt, consult an accountant or the FTA directives available at admin.ch.
Swiss VAT is one of the simplest in Europe — but the 2024 changes caught many freelancers off guard. Make sure your invoices use the correct rates (8.1% / 3.8% / 2.6%) and that your VAT number is clearly visible on every document. Pli updates rates automatically and calculates them for you.