Rate Codes

Basically, the rates applicable to the respective IT canton can be selected in the Employee card.

If a canton only publishes the rates either with or without church tax, this is also controlled accordingly and only one option can be processed.

An exception is recording via TimeMachine, where all possible rates can be selected.

Chapter 9.5.1 of Swissdec Guidelines contains regular IT rate codes for persons subject to Income tax residing in Switzerland and abroad. Special rates are handled for cross-border workers from individual countries. Please also note the following Chapter 9.5.2 with the predefined categories for VR fees applicable to persons residing abroad, benefits from exported employee shareholdings to persons residing abroad, special agreement with France, which provides for exemption from IT burden for individual cantons.

The Income tax reform requires that some additional data be maintained for Italian cross-border workers employed in the cantons of TI, GR or VS:

•Place of birth: field in the ‘Private’ tab

•Tax ID country of residence: (new) separate field in the ‘Income tax’ tab

•Immigrating Date when the person became a cross-border worker: please maintain a cross-border worker permit issue date in the ‘Immigrating date’ field under the ‘Tax at Source’ tab.

Italian cross-border workers who stay in Switzerland for a week will now be billed according to rates A, B, C and H.

We recommend that you store Income tax obligation by recording generally applicable rate code for French cross-border workers employed in the cantons of BE, BL, BS, JU, NE, SO, VD, VS. Then, select Special agreement with France for the ‘IT category’ field in the ‘Tax at Source’ tab. This way you ensure that the person is included in the ELM submission. This means no IT deduction on the payslip.