SFTA confirmed that OECD guidance on hybrid arbitrage arrangements under the transitional CbCR safe harbour applies in Switzerland only to transactions entered into after 18 December 2023.
The Swiss Federal Tax Administration (SFTA) has issued Communication-027-E-2025-e on 12 August 2025, confirming how Chapter 2.6 of the OECD administrative guidance of 18 December 2023 applies to hybrid arbitrage arrangements under the transitional Country-by-Country Reporting (CbCR) Safe Harbour.
The administrative guidance of the Inclusive Framework on BEPS of the OECD and the G20 countries, published on 18 December 2023, deals with hybrid arbitrage arrangements within the transitional CbCR safe harbour in Chapter 2.6. It provides that the document on safe harbours, published on 20 December 20223, is to be supplemented by paragraphs 74.25 to 74.31 of the administrative guidance of December 2023.
Paragraph 74.31 of the administrative guidance of December 2023 allows jurisdictions that, based on constitutional grounds or other superior law, are unable to apply paragraphs 74.25 to 74.30 of the administrative guidance of December 2023 to transactions entered into after 15 December 2022, to apply them only to transactions entered into after 18 December 2023.
It is therefore necessary to determine the date of application of these rules for the Swiss jurisdiction:
Chapter 2.6 concerning hybrid arbitrage arrangements within the transitional CbCR safe harbour of the administrative guidance dated 18 December 2023 applies to transactions entered into after 18 December 2023.
