The Swiss Federal Council launched a consultation on VAT amendments covering platform taxation of electronic services and changes to bundled service rules.
The Swiss Federal Council opened a consultation on amendments to the Value Added Tax Act on 5 December 2025.
The changes aim to implement two parliamentary motions: the extension of platform taxation to electronic services (Motion WAK-S 23.3012) and adjustments to the taxation of bundled services (Motion Engler 18.3235).
Since 1 January 2025, online platforms, rather than providers, have been responsible for charging VAT on goods ordered via their sites. The consultation will examine whether this approach can also apply to electronic services, including apps, games, films, and music. To enforce compliance, the Federal Tax Administration may restrict access to online offerings via network blocking. Passenger transport and rental of accommodation through platforms are excluded from the rule.
The draft also proposes lowering the threshold for taxing bundled services, such as hotel stays combined with meals or ski passes, from 70% to 55% of the predominant service. Platform taxation of electronic services is estimated to generate additional revenues in the low double-digit million range, while the changes to bundled services are expected to reduce revenues by a similar amount.
Other minor amendments include removing the not-yet-implemented option to choose the fiscal year as the tax period, which few companies currently use and which increases VAT complexity.
The consultation runs until 19 March 2026.
