Request for files from the tax administration: how to react correctly
When requesting files, tax authorities often ask for account statements, contracts, vouchers and documents in order to clarify the assessment. The taxable company and self-employed persons are obliged to enable a complete and correct assessment. Therefore, the letters must be answered and the deadline set may be extended.
The most frequent requests concern:
- Representation and travel expenses: in order to avoid offsets, it is important that trips and representations are well documented. Contacts should be noted, what projects were discussed, and who was present during restaurant visits. Photographs can be useful.
- Per Diem Expenses: The expense regulations should have been approved by the cantonal tax administration. Small expenses of up to CHF 50 are no problem as lump-sum expenses.
- Business vehicles: for self-employed persons, the question arises as to whether the vehicle is part of the business or private assets. If it is used more than 50% for business, it can be classified as business asset.
In the case of companies, it is checked which and how many business vehicles are used. In the case of luxury vehicles costing more than CHF 120’000, the private share of 0.9%/month is not sufficient. If an owner owns more than one vehicle, it will be difficult to convince the tax authorities that both cars are required for business purposes.
After the examination, the company or the self-employed person receives an assessment with an objection period of 30 days. This period cannot be extended.
Offsets must be examined carefully and, if necessary, an objection must be raised.