VAT obligation for associations eased as of 1 Jan. 2023

The increase of the turnover limit for the VAT obligation to 250’000 Swiss francs for non-profit, voluntarily sports and cultural associations and non-profit institutions will come into force on 1 January 2023.

Around 180 associations and non-profit institutions can therefore have themselves deleted from the VAT register because they do not reach the new turnover limit. This requires a written deregistration with the Federal Tax Administration. Without deregistration, the tax liability continues to apply.

Taxable persons can deregister at the end of a tax period. The deregistration must be received by the tax administration within 60 days of the end of the tax period.