Hello everyone,
I am a non-EU national having worked in Switzerland for about 4 years with B permit and now I am leaving Switzerland to Canada for good. I have some basic understanding about 2nd pillar management but really would like to ask for some advice:
1. I learnt that I will need proof of my marital status (which is single). I think I will need something called “Certificate of civil status”. How can I do this? Must I do this while still being in Switzerland or can I do this in Canada?
2. My understanding is that if I transfer my 2nd pillar to, say, UBS vested benefit account, there won’t be tax levied. Is it true?
3. On the other hand, if I decide to withdraw my 2nd pillar (I have checked the conditions and it seems I am able to do so), how much tax will be levied?
4. If I withdraw my 2nd pillar, will I be able to return to Switzerland or EU to work again in the future?
Many thanks
1. Would assume you can do in Canada also but easier to do in Switzerland and have a Swiss document
2. Correct
3. Depends on the kanton where your second pillar foundation resides.
4. Yes of course.
many thanks for your answers. But for 1 and 3, is it possible to give some general figures? I just need some rough numbers for my planning.
1. Typically a few days and in most commune can request online. If you go live you can walk away with the doc.
3. No idea would need to do a google search but would assume anything between 5% and 15% (my wild guess)
From 0% to 14.3%.
As you reside abroad at payout time, you will be taxed at source (at place of institution) There is a 0 - 2.3% progressive federal tax, plus what the cantons charges.
Some cantons have flat rate tax, others have progressive tax rates. Example canton Schwyz has 2.5% flat rate, Jura a 5 - 7.5% progressive rate. Geneva has the lowest progressive tarif starting at 0%. Graubünden has the highest rate of all cantons with 12% (flat rate).
Max rates when taxed at source,
https://finpension.ch/en/withholding-taxes-pensions/
More detailed:
https://www.estv.admin.ch/dam/estv/d…ungen-2022.pdf
If the payout is taxable in Canada you can reclaim the Swiss tax.
My understanding is that the 2nd pillar can only be cashed out after deregistration. Do you know, in general, how many months will be needed for 2nd pillar cash out (i.e. appear in my personal bank account) after deregistration?
Will depend on a bunch of stuff (is your bank in CH or Canada) but is in general quite quick.... matter of weeks not months as long as all the papers are in order etc