Employer's duties in the ordinary tax procedure: The obligation to certify

Tax filing is a duty for all working individuals in Switzerland. For such a tax filing to be completed correctly, however, several documents are needed. It is also the employer's responsibility to provide these documents on time and correctly.

General Certification Duty

‍In the ordinary tax procedure, the employer has a general duty to certify. This is stipulated in Art. 127 Abs. 1 lit. a of the Federal Law on Direct Federal Tax (DBG). Accordingly, the employer is required to issue a written certificate to his employees about the extent of the work. If the employee must submit an ordinary tax declaration in Switzerland, the employer is obliged to issue a salary statement, which is an official form. If the employer knowingly fails to fill out this form correctly, he may face severe consequences.

‍Special Case of Employee Participations

‍A special case are the employee participations (see series of articles «Employee Participations» for an overview). In the case of employee participations, the employer is obliged to make comprehensive certificates both at the time of submission and at the time of realization of employee participations. The specific provisions are recorded in the regulation on the certification obligation for employee participations (employee participation regulation, MBV). The most important details that must be made are:

• the designation of the employee participation plan;
• the date of acquisition of the employee stocks;
• the market value at listed employee stocks or the value determined by a formula (formula value) at unlisted employee stocks at the time of acquisition;
• any lock-up periods and the duration of any potential return obligations;
• the agreed purchase price;
• the number of employee stocks acquired;
• the monetary benefit certified in the salary statement or in the withholding tax statement.

Findea helps you keep your taxes simple and trouble-free.

• Further information
   
• Calculate offer for fiduciary