Ordinance on Value Added Tax

(Art. 37 para. 1–4 VAT Act)

¹If a tax­able per­son re­port­ing un­der the net tax rate meth­od ceases its busi­ness activ­it­ies or if, due to fail­ing to reach the turnover threshold in Art­icle 10 para­graph 2 let­ter a VAT Act, it is ex­empt from tax li­ab­il­ity, the turnovers gen­er­ated pri­or to be­ing re­moved from the VAT Re­gister, the work in pro­gress and, if re­port­ing ac­cord­ing to col­lec­ted con­sid­er­a­tions, the debt­or items are also to be re­por­ted at the ap­proved net tax rates.

²On the date of re­mov­al from the VAT Re­gister, the tax must be re­por­ted on the fair value of im­move­able goods at the stand­ard rate ap­plic­able at that time, provided:¹

a.

the good was pur­chased, con­struc­ted or con­ver­ted by the tax­able per­son when it used the ef­fect­ive meth­od and it has claimed the in­put tax de­duc­tion;

b.²

the good was pur­chased by the tax­able per­son un­der the no­ti­fic­a­tion pro­ced­ure from a tax­able per­son re­port­ing us­ing the ef­fect­ive meth­od.

³In de­term­in­ing the fair value of im­mov­able goods, for every year ex­pired one twen­ti­eth is re­duced on a straight line basis.