Statement from the Swiss Bankers Association regarding the change from a withholding tax to a paying agent tax system

  • The banks in Switzerland have declared strengthening the Swiss capital market as one of their objectives. It is for this reason that the SBA is generally in favour of the change from the withholding tax to the paying agent tax system. This will create added value and jobs in Switzerland.
  • As a result, a sustainable solution for the too-big-to-fail package of measures has also been found: This is the only way for affected banks to issue bail-in-bonds at competitive conditions in Switzerland and meet the strict capital requirements.
  • In the formulation of the paying agent tax, the SBA expects the paying agents’ liability to be limited and the paying agents to be compensated for their expenditures by means of a commission.