Lump-Sum Taxation – Update

This note provides an update on the conditions for applying for lump-sum taxation in Switzerland. The authors examine the tests for differentiating between qualifying and non-qualifying activities and determining the tax base when several properties are owned or rented by the lump-sum taxpayer in Switzerland. In addition, the latest developments regarding international administrative assistance are outlined, focusing on the potential implications of a foreign tax authority questioning the Swiss residency of the lump-sum taxpayer.