Advice needed RE self employed status and RAV

Finance, Taxes, Banking, Insurance and Retirement
1
Hi Everyone,

Complicated this but I’ll try to keep it short. In the UK I have a limited company, I’m director and sole employee. For 2 years I’ve been working from home in Switzerland but on a UK project and through the UK limited company so I’ve been paying tax in the uk only and paying social contributions in Switzerland via the SVA.

Now suddenly I am unemployed and I’ve been directed towards the RAV (mountain of paperwork is making me shudder). Question is am I entitled to RAV assistance while I am unemployed ?

In the UK I’m not classed as self employed but I’m starting to think that may be different here.

Thanks in advance

2
I'm afraid you have to register at RAV, attend the introductory session and ask the question to your advisor whilst you'll be collecting all the paperwork. Normally yes, all EU work counts for RAV in Switzerland if you're domiciled here now. However Brexit makes it "it depends" for you.

3
What kind of advice were you given when you set this thing up and what exactly are you paying via the SVA? Was your salary insurance is the big question.

4
Morning,

Thanks a lot for the replies.

Gravity- RAV session is arranged for a few days time, I’ll let you know how it goes .

Jim2007- when I set up this LTD company I was domiciled in the uk and relocated to CH halfway through a 4 year contract. UK and CH authorities were appraised of the situation and seem comfortable with the taxes I’ve been paying. For 2 years I’ve been paying around 10% of my salary to the SVA including salary insurance, 3% I think.

5
Do you mean you've been paying corporation tax or personal income tax in the UK? If you're a Swiss tax resident then you should not have beeen paying any income tax in the UK I believe.

But if you've been paying Swiss social contributions and liquidate your UK company, I believe this means there is RAV eligibility

6
Well if the OP is the sole employee, director and the work is done here, there is room for the Swiss to argue the center of management is here opening up another can of worms.....

7

Best to keep the problems apart: Tax, incorporation of company, and social insurances.

Incorporation of company: I cannot say much about that, but do not see anything wrong with it.

Tax: If you were an employee of the company, then AFAIK you should pay income tax on your pay check in Switzerland. Because you are a Swiss resident and the work was performed here.

Social insurance: As the main decision maker of the company you do not get unemployment insurance payments (but still have to pay for it)
https://www.kmu.admin.ch/kmu/en/home…-employer.html

8
There is nothing wrong with incorporating a company abroad, whoever to frustrate tax avoidance schemes such companies are usually taxable in the country where the center of management resides. In this case it could be determined to be Switzerland.

Hopefully the OP has a C permit or a dependent permit at least.

9
I’ve had this same topic. Although advice varies, being sole director of a UK company, especially one which pays minimal tax and mostly exists to pay the director (like why would you anyway go to the UK to avoid Swiss tax.....), would not necessarily interest the Swiss tax authorities. Or would you think otherwise?