Federal Act
on Value Added Tax
(Value Added Tax Act, VAT Act)

¹ The Con­fed­er­a­tion shall levy a gen­er­al con­sump­tion tax based on the sys­tem of net all-phase tax­a­tion with in­put tax de­duc­tion (Value Ad­ded Tax). The pur­pose of the tax is to tax non-busi­ness end use on Swiss ter­rit­ory.

² As Value Ad­ded Tax, it levies:

a.

a tax on goods and ser­vices sup­plied for con­sid­er­a­tion by tax­able per­sons on Swiss ter­rit­ory (do­mest­ic tax);

b.

a tax on the ac­quis­i­tion by re­cip­i­ents on Swiss ter­rit­ory of sup­plies from busi­nesses dom­i­ciled abroad (ac­quis­i­tion tax);

c.

a tax on the im­port of goods (im­port tax).

³ The tax is levied on the fol­low­ing prin­ciples:

a.

com­pet­it­ive neut­ral­ity;

b.

ef­fi­ciency of pay­ment and im­pos­i­tion;

c.

trans­fer­ab­il­ity.