What is the withholding tax?
In Switzerland, withholding tax is deducted directly from your income,
if you live abroad as an employee and are not resident in Switzerland for tax purposes (i.e., you are a cross-border commuter),
or live in Switzerland without a permanent residence permit (C permit).
The rate for withholding tax depends on the canton and can therefore be requested from the cantonal tax administrations.
Am I obliged to provide information on withholding tax?
Yes, if you are an employee subject to withholding tax according to the Direct Federal Tax Act (DBG) and the Swiss Federal Tax Administration (FTA) circular no. 45, you are obliged to provide the employer with all relevant information for the levying of withholding tax. You can read about your rights and obligations in the official documents or contact the withholding tax office in your municipality of residence for detailed information.
For the canton of Zurich, for example, you can find the information for persons liable to withholding tax here.
Which of my personal details are relevant for withholding tax purposes?
Address
Nationality
(Work) Permit
Marital status: Please note that only civil marriage ceremonies are considered married.
(Religious) ceremonies are not considered married
If you are married, we need information about your spouse as well as their job situation and salary
Number of children: if you are responsible for paying child maintenance, we need information about your children
My withholding tax deduction is not correct. What can I do?
If we have deducted too much or too little withholding tax due to incorrect information, please report this to us immediately. This way we can make the necessary corrections until the next salary run.
Your data in your Coople account must always be up-to-date. If something changes in your family and personal situation, please adjust it immediately.
I am a cross-border commuter. What do I have to bear in mind?
Withholding tax is levied at the taxpayer's place of residence. If you have a residence abroad and work in Switzerland, withholding tax is levied at the employer's residence. As Coople (Schweiz) AG has its registered office in the canton of Zurich, withholding tax is levied on a cross-border commuter in Zurich.
The Canton of Zurich has a double taxation agreement with the following countries:
Germany
You are a German cross-border commuter if you return to your place of residence (Germany) every day.
If you can only return to your German place of residence regularly at weekends, you are an international weekly resident if daily return is not reasonable.
Principality of Liechtenstein
If you are liable for taxation in your country of residence (Principality of Liechtenstein) and, as a cross-border commuter, you are unable to return to your place of residence in Liechtenstein for more than 45 days during a calendar year for work-related reasons, the right of taxation falls to the country in which you work (Switzerland).
As a cross-border commuter, it is therefore important that you provide information on whether you return to your place of residence abroad on a daily or weekly basis.
The Canton of Zurich does not have a double taxation agreement with the other neighbouring countries (France, Italy, and Austria). This means that withholding tax will be deducted according to the rates of the Canton of Zurich, current headquarters of Coople (Schweiz) AG.
How and where do I adjust my personal information for withholding tax?
During your registration and when you first apply for a job, we ask you for some personal information like your nationality and work permit to determine if you're liable to withholding tax.
If you're liable, you need to fill in a withholding tax form.
Based on your personal information and family details, your withholding tax rate is determined, and the resulting amount is deducted from your salary. It's important that your details are correct and up-to-date so that you don't pay more tax than you need to.
You can see if you're liable, fill in the form, and update the relevant details via the Coople Jobs app:
Go to your Account.
Scroll down and click on Withholding tax.
Here, you can see if you're liable.
If you are and haven't done so, please complete the linked withholding tax form.
You can also update your relevant personal information on this screen if anything changes (your tax residence address, number of dependent children, religion, and marital status).
