Switzerland and Liechtenstein reach agreement on double tax treaty

Switzerland and Liechtenstein have agreed to the terms of a revised double tax treaty and expect to sign the agreement this summer, Switzerland’s Federal Department of Finance
(FDF) announced on February 5.

The agreement, which would replace a treaty signed by the countries on June 22, 1995, “contains solutions” with respect to the taxation of dividends, interest, and royalty payments  “which are comparable to those recently concluded by Switzerland in other agreements,” the FDF said.

The new treaty will also cover taxation of pensions and cross-border commuters.

The agreement would apply from January 1, 2017, subject to how signing and ratification proceed in the two countries.  The text will be published when the treaty is signed.

See:

• Swiss Federal Department of Finance release