Who is responsible for mistakes—me or the trustee?

Basic principle: Shared responsibility

The question of liability for outsourced accounting must be considered on a case-by-case basis and depends heavily on the type of error and the contractual agreements. Swiss law provides for shared responsibility, whereby both the entrepreneur and the trustee can be held liable depending on the situation.

Your responsibility as an entrepreneur

Basic accounting obligation

You remain legally responsible for accounting. Even if you outsource, you are still responsible to tax authorities, social security agencies, and other authorities for the proper accounting of your company.

Duty to provide information and cooperate

You are obliged to provide complete and accurate information. If important documents are missing or you provide incorrect information, the trustee cannot be held responsible for any resulting errors.

Your specific obligations:

• Complete submission of all business documents
• Accurate information on business transactions
• Timely notification of changes within the company
• Checking and approving important documents before submission

Monitoring and control obligation

You must monitor the work of your trustee. You should identify and address any obvious errors in evaluations or statements.

Responsibility of the trustee

Professional execution

The trustee is liable for the professional execution of their services in accordance with applicable standards and laws. This includes both technical correctness and adherence to deadlines.

Liability for gross errors

In the event of gross negligence or intent, the managing director is liable for any damages incurred. The managing director may then seek recourse from their trustee. This includes, for example:

• Incorrect VAT calculations in cases where the legal situation is clear
• Late payments despite timely data transmission
• Violation of clear legal regulations
• Failure to comply with contractually agreed services

Duty to advise and inform

Professional trustees must inform you of any relevant changes and provide advice on complex issues. Failure to warn of tax risks may give rise to liability.

Specific liability scenarios

Scenario 1: Late VAT return

If you have submitted all documents on time and the trustee still submits the VAT return late, you are liable for interest on arrears and fines.

If you submit documents too late and the deadline cannot be met as a result, you are responsible.

You can assert a claim against the trustee.

Scenario 2: Incorrect entries

In the case of clearly incorrectly categorized business transactions despite correct documentation, you are liable.

In the case of unclear or missing documents that lead to incorrect entries, the responsibility lies with you.

You can assert a claim against the trustee.

Scenario 3: Tax back payments

If the trustee disregards clear tax regulations, you may be held liable for back payments.

You as the entrepreneur are responsible for business decisions with tax consequences (e.g., investments, choice of legal form).

You can assert a claim against the trustee.

Scenario 4: Social security issues

You are responsible for incorrect payroll accounting or late registrations if the basic data is correct. You can assert a claim against the trustee.

You remain responsible for failing to report personnel changes or providing incorrect wage information.

Contractual protection

Clear definition of services

Define precisely who is responsible for which tasks. The more detailed the agreements, the lower the potential for disputes.

Important contract points:

• Scope of the tasks transferred
• Deadlines for data transmission and processing
• Communication channels and query procedures
• Control and approval processes

Limitations of liability

Many trustee agreements contain limitations of liability. These are generally permissible, but may become invalid in cases of gross negligence or intent.

Check critically:

• Are liability exclusions appropriate?
• Are there minimum liability amounts?
• Are default interest and fines covered?

Insurance

Reputable trustees have professional liability insurance for damages arising from their activities. Inquire about the coverage amount and scope.

Preventive measures

Regular checks

Check important documents before submission:

• VAT returns before submission to the ESTV
• Payroll statements before payment
• Annual financial statements before publication
• Tax returns before submission

Document

Keep all communication in writing. Emails, minutes, and file notes will help with liability issues later on.

Early communication

Inform your trustee immediately of any relevant changes in your company. Do not conceal anything out of false modesty.

Further training

Basic knowledge of accounting and tax law will help you to better understand and monitor the work of your trustee.

Disputes and enforcement

Out-of-court solutions

In the event of disagreements, seek direct dialogue first. Many problems can be resolved through communication.

Mediation

Industry associations such as TREUHAND|SUISSE offer mediation procedures for disputes between trustees and clients.

Legal action

Legal action is the last resort. Gather all relevant documents and evidence in advance.

Practical recommendations

When drafting contracts

• Seek legal advice on complex liability clauses
• Arrange regular review meetings
• Define clear escalation routes

During ongoing operations

• Establish fixed routines for data transmission
• Monitor important deadlines and dates
• Hold regular quality meetings

In the event of problems

• Document errors and their effects
• Address problems immediately
• Seek legal advice in the event of major damage

Conclusion on the distribution of liability

Responsibility for outsourced accounting is complex and depends on the situation. You can minimize liability risks through clear contracts, good communication, and regular checks. It is important to understand that outsourcing does not relieve you of your fundamental responsibility for your company, but, if carried out professionally by the trustee, establishes their liability for errors within their area of responsibility.