Switzerland does not have a substantive trust law, and it is not possible to establish a trust in Switzerland. Foreign trusts, however, can be fully recognised in Switzerland.
This article considers the taxation of trusts in Switzerland, including: general rules relating to taxation in Switzerland; guidelines for taxation of trusts in Switzerland under Circular Letter No. 30 and VAT-Branch-Info No. 14; and tax consequences for trusts in income tax and net wealth tax, inheritance tax, withholding tax, and VAT.
This article is part of the multi-jurisdictional guide to private client law. For a full list of jurisdictional Private Client Q&As visit www.practicallaw.com/privateclient-mjg