Do people subject to withholding tax, for whom direct tax is deducted from their salary, really no longer have to worry about taxes and filing their tax return? This is not entirely true. In some circumstances, people subject to withholding tax are required to file a subsequent return. Voluntary filing of a tax return may even have advantages and lead to a partial refund of withholding tax paid.
Who are the persons subject to withholding tax who must file a tax return?
A tax return must be filed as soon as the gross annual income exceeds CHF 120,000 or other income not subject to withholding tax exceeds CHF 3,000.
Higher total assets, including real estate, also trigger the obligation to file a tax return. The thresholds vary from canton to canton. In the canton of Zurich, for example, it is CHF 80,000 for single persons and CHF 160,000 for persons subject to joint taxation.
Is it useful to file a voluntary tax return?
It is possible to voluntarily file a subsequent tax return in order to deduct from the taxable income actual expenses that are not taken into account in the withholding tax scales or are only taken into account on a flat-rate basis. This makes it possible to reduce the tax burden and, if necessary, to obtain a refund.
Possible deductions are, for example, actual business expenses, purchases in the pension scheme (pension fund / 2nd pillar), contributions to pillar 3a, training and further education costs incurred by the tax payer, childcare costs incurred by third parties, alimony payments, interest on debts, and costs associated with illness and disability.
It is important to note that the application must be submitted by 31st March of the following year (electronic filing date). The deadline cannot be extended.
I am subject to withholding tax: how can I obtain a tax return form?
This varies from canton to canton. In many cantons, the form can be downloaded online or ordered directly from the local tax office.
