Benefits of a Holding Company in Switzerland
-
Upload
law-firm-in-switzerland -
Category
Business
-
view
7 -
download
0
Transcript of Benefits of a Holding Company in Switzerland
![Page 1: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/1.jpg)
Benefits of a Holding Company in Switzerland
A presentation brought to you by CompanyFormationSwitzerland.com
1
![Page 2: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/2.jpg)
2
Holding Company in Switzerland
• A holding company in Switzerland is an ideal solution for the investors who want to own majority voting rights in other companies.
• There are several countries in Europe that offer favorable prospects for holding companies, but Switzerland is currently the country offering the best tax benefits for this sector.
![Page 3: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/3.jpg)
3
Main Regulations for Holding Companies
• In particular, the laws of some specific cantons (Fribourg, Zug, Glarus) provide permanent tax benefits for Swiss holding companies.
• In order to qualify for the status of holding in these cantons, it is necessary that investments in foreign companies represent at least two-thirds of the total assets or revenues.
![Page 4: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/4.jpg)
4
Main Benefits for Holding Companies >>
• Holding companies in Switzerland benefit from a preferential tax regime which is around 8%. 7.8% for the corporate income tax
on capital;
a corporate officer tax that oscillates between 0,35% and 0.075% of the capital.
• Our team of company formation agents in Switzerland can offer more details.
![Page 5: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/5.jpg)
5
>> Main Benefits for Holding Companies
• Even though the standard corporate tax rate in Switzerland is 35%, this country has several treaties which can reduce this rate to 5-15%.
• In terms of dividends received by subsidiaries from the Swiss company, it is necessary to verify the provisions of such treaties.
![Page 6: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/6.jpg)
6
Dividends for Holding Companies
• Most of the treaties apply a rate of 15%, even though Switzerland has signed an agreement with the European Union so that dividends paid by a subsidiary of a Swiss holding company shall not be liable for taxation in various conditions.
• This puts Switzerland in a favorable position of being able to receive dividends from EU countries free of withholding tax.
![Page 7: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/7.jpg)
7
Tax Regulations for Holding Companies >>
• Both the cantons and the federal authorities recognize favourable treatment when opening a holding company in Switzerland.
• The Swiss holding companies must have at least 20% or CHF 2 million of the share capital of other companies.
• Our team of specialists in company registration in Switzerland can assist on this matter.
![Page 8: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/8.jpg)
8
Cantonal Taxation for Holding Companies
• Switzerland is comprised of 26 cantons, which can have different taxation regimes.
• However, as a general rule, it is important to mention that holding companies are not required to pay income taxes applicable at a cantonal level.
• The holding structure can be exempted from paying the tax on dividends or on profit.
![Page 9: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/9.jpg)
9
Tax Deductions for Holding Companies
• Cantons exempt Swiss holding companies from all taxes on income, creating a holding privilege.
• This is available if the company can prove that two thirds of its profits are deriving from shareholding rights.
• The holding company is, therefore, not dependent on a deduction on capital investment.
![Page 10: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/10.jpg)
10
Consultancy Services in Switzerland
• Our representatives can offer further details related to the incorporation of a Swiss holding company.
• Our agents can also provide information on related matters, such as on the company’s share capital.
• Please contact our consultants in company formation in Switzerland for corporate advice.
![Page 11: Benefits of a Holding Company in Switzerland](https://reader036.fdocuments.us/reader036/viewer/2022070520/58f1b98a1a28ab6d7c8b4567/html5/thumbnails/11.jpg)
Thank you for your attention!
• For more information please contact us at:
(+44)203-287 0408 (for international clients)
www.companyformationswitzerland.com
11