Legal

The board of directors of a Swiss corporation leads and supervises the company, determines its strategic orientation. It is elected by the general meeting of shareholders and bears responsibility for major corporate decisions.

The usufruct in Switzerland allows the use of property without possession, regulated in the Swiss Civil Code Art. 745 et seq. It is tax-relevant, with the usufructuary declaring income and assets.

Companies must adapt their legal structures according to merger law, where merger, division, transformation, and asset transfer are key methods. These restructurings help to respond effectively to economic changes.

The revised inheritance law of Switzerland comes into effect on January 1, 2023, allowing more freedom of disposition over assets and abolishing the obligatory share for parents. The regulations for occupational pension schemes and pillar 3a have been newly incorporated into the inheritance law.

Tax evasion and fraud threaten the public financial system by concealing assets or submitting false data. The consequences range from back payments to imprisonment, depending on the severity of the offense.

As an employer in Switzerland, you must insure your domestic help and register them with the compensation office. In addition, monthly payroll statements and annual salary certificates are required.

Corporations are independent taxable entities, while sole proprietors and partners must tax all their income, including business assets. Investments are depreciated over years, and losses can be claimed retroactively for up to seven years.

Starting on September 1, 2023, a new data protection law will come into effect in Switzerland, which improves the protection of personal data and considers adjustments to technological developments. The law also strengthens the economic location by increasing compatibility with EU law.

Hourly employees are entitled to 4 weeks of paid vacation by law; companies often offer vacation bonuses (8.33% for 4 weeks) instead of direct continued pay. Vacation bonuses must be listed separately on the payroll statement to be considered as paid.