Hi,
I’ll move to CH in the course of the next months, to unite with my wife.
- I have a company car (my own company) in Belgium.
- My Belgian company might order a new PHEV/BEV car in the next 2 weeks (On 1 July 2023 there are new fiscal rules in Belgium regarding these cars, all cars ordered before are grandfathered).
It’s no big deal for my company to pay 80.000€ for a car, but I privately don’t have the means to do that. So if possible I’d really like to find a legal way to use the old or new car in CH.
I’ve understood from:
https://www.bazg.admin.ch/bazg/en/ho…-benutzen.html
&
https://www.bazg.admin.ch/bazg/en/ho…craft/faq.html
that:
-
when moving to CH, you can bring your (>6 months owned) private car.
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a Swiss resident can’t (easily) drive a foreign registered car.
-
unless it’s a company car used for company purposes, with permission from customs, and not to be used privately.
On the pain of fines (4x VAT I read here somewhere) + criminal prosecution.
Questions:
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Is ownership (or ownership date) of a car determined by the registration, or by e.g. an invoice? For example, I could sell the old car to myself today, but it might stay registered for a while on my company.
(In Belgium the car registration is not necessarily the owner).
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How cooperative are customs with granting the permission to use a foreign company car? (For business & IT consulting in Belgium, Netherlands & Germany, and possibly CH)
-
Is ‘no private use’ very black & white or is it pragmatic? I mean, taking the kids home from school while also on the way home from a client?
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Are there any other fully legal ways in which I could use my company car in CH?
Given that you can only import an car freely when moving to CH if you’ve owned it more than 6 months, I might have to sell the current company car to myself privately and wait 6 months before moving, is that correct?
I recall reading of someone that got fined 15k for using their father in laws van, which was DE registered, for a weekend to move furniture in CH...
This post is interesting:
Swiss resident using their parents’ car in CH:
https://www.englishforum.ch/3479167-post15.html
“I went to the closest commercial customs with my car, my car’s paper, form 18.44 compiled, my documents and a declaration from my parents that I have been using my car for more than 6 months. After a long line the officer examined and made a copy of everything and finally gave me this paper (cost of 20 CHF) with which I can drive in Switzerland etc.; I should always bring in the car with me this paper.”
Would this be the same for my current company car? (I’ve been the sole user of it for the past 6 years).
You can import any car. The difference is if you have to pay duty (4%) and VAT (7.7%) of the cars value or you can import it for free.
To import it for fre you must have used or owned the car for at least 6 months before move.
If you cannot import it for free you will have to pay the duty and VAT on the value 2 years after the move (and will need a Z-licenseplate after one year of stay).
https://www.bazg.admin.ch/bazg/en/ho…val-goods.html
Long story short: Not happening. I recently was in the waiting line at Swiss customs and watched an expat couple getting schooled about driving a foreign car into Switzerland while registered here. They got away with a warning and five days to either export the car or import it with all taxation. I am 100% positive that you cannot import a car when moving that isnt yours... unless your company wants to do it and pay all the costs for it...
15.30 is valid for a year, but can be extended /renewed.
Are you an employee of your Belgian company? If yes, how do you plan to move to Switzerland, with a family reunion permit? If not, AFAIK you don't qualify for using the car as a company vehicle.
From the BAZG document ("Personal use of duty unpaid company vehicles by employees resident in Switzerland"):
It's a nice loophole you found btw, but I'm not sure it will work.
However, I think you can actually pay all the customs fees and taxes, and then... I'm not sure what happens. Maybe you get the 15.30 after all has been paid, and can use the vehicle in CH?
This means that my current company car could be imported for free right now (if I had already moved), because I've been using it for >6 months.
This also means, that if I get my new company car delivered in November, and I move to CH after May/June 2024, I could also import it for free.
Is that correct?
Also consider ( https://www.bazg.admin.ch/bazg/en/ho…craft/faq.html )
I think this is a clear case of “you might get away with it if nobody stops you, you don’t have an accident etc, but clearly what you want is not how things in Switzerland work…”
Let's for a moment just forget everything about using it on foreign plates.
If my understanding of 'aSwissInTheUS's citations are correct, I don't need to be the OWNER of the vehicle, it's enough that I've had sole use of the vehicle for >6 months in order to import it when I move, as a personal belonging, for free, and thus able to register it on Swiss plates.
Can anyone confirm that I'm understanding this correctly?
I suppose there is no limit on the number of vehicles? E.g. Could I then import my old company vehicle & my new (after having used it for >6 months) vehicle, and an old 125cc scooter?
You try to save cents by wasting francs. The difference in income tax might already outwight your potential savings on car import cost. You also miss a third option: direct export of the new car from Belgium with VAT/duty reimbursement. How much is Belgium VAT? How much is Swiss VAT?.
You are opening a whole can of worms with this one... To the point that your Belgian company could end up being considered resident in Switzerland for tax purposes! Go and get proper financial advice.
Any recommendation? I already talked to a local tax advisor (who is also a lecturer), but they couldn't help me on this point, nor forward me to someone who would know.
Don't get a new company car but buy a car and ask for a mileage allowance instead. I know that a company car is extremely advantageous in Belgium but don't think it will work out in your situation.
Local to where? Belgium or Switzerland? I’m retired now as are most of my colleagues at this stage.
I consulted a local Swiss tax advisor about certain matters. The issues around customs/importing a car, they were not knowledgeable about, and couldn't refer to someone who might now either.
Am I understanding correctly that you used to be a financial advisor, but are now retired?
I understand that if my Belgian company is run/doing activities from CH, it will be seen as being a local Swiss company, under art.50 of the federal direct tax law.
I might set up a Swiss GmbH if needed in future, but at first sight I'd want to avoid that as my intention is to find a work as an employee in CH. (I've heard that if owning/running a GmbH, you lose certain social protections).
But, although unorthodox, providing the free use of a (Belgian bought company) car, to be imported as a personal item (in use >6 months), shouldn't in itself be a problem? The private use probably needs to be declared in CH as well as a non-cash wage.
Or will customs only allow this if the Belgian company also has activities in CH?
The way I understand it: whether someone's parents, neighbour, foundation, or company, want to allow them the full use of their car, the Swiss see it as a personal/household item when you move, and no particular import taxes are owed.
1. You can't import it because it's not your car
2. The only allowed private use is to drive home from work (work = company in Belgium or a client). For any private other private use, you need to pay the import tax.
Looking at the above, I'd say take a loan from your company to buy the car new on Belgian tax free plates, then import into Switzerland.
Sure, you can. There is no need to own the item you import.
Where does this myth come from?
Have you ever tried to import a car that you did not own? You either own it and import it or you import it on behalf of someone else and you can produce all the required documentation to state them of the situation.