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Adjustment of VAT Rates 2024 and DSG from September 2023.
(English image not yet available)New VAT Rates from 1 January 2024
From 2024, new VAT rates will apply in Switzerland.
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(English image not yet available)What this means for service providers
The standard VAT rate will increase from 7.7% to 8.1%. Service providers must invoice services provided by the end of 2023 at 7.7% and services from 1 January 2024 at 8.1%. The service period is decisive.
Partial invoices for cross-year projects
The tax administration recommends that for projects not completed by the end of 2023 and extending into 2024, partial invoices should already be correctly delineated. List ongoing services in terms of type, scope, and timing (or period).
The tax administration recommends that for projects not completed by the end of 2023 and extending into 2024, partial invoices should already be correctly delineated. List ongoing services in terms of type, scope, and timing (or period).
How to successfully transition with MOCO
Invoices
1. Inform clients
For cross-year projects, inform the client in advance that due to the VAT change, services for 2023 will be invoiced already.
For cross-year projects, inform the client in advance that due to the VAT change, services for 2023 will be invoiced already.
2. Invoicing period 2023
Invoice all services provided by 31.12.2023 at the end of the year at 7.7%.
3. Change tax rate
In the settings under "Accounting" > "Tax Rates" select 8.1% as the standard.
Info 30.01.24: The standard has now been set to 8.1% for everyone. If invoices still need to be created at 7.7%, simply select this tax rate alternatively via the dropdown.
Invoice all services provided by 31.12.2023 at the end of the year at 7.7%.
3. Change tax rate
In the settings under "Accounting" > "Tax Rates" select 8.1% as the standard.
Info 30.01.24: The standard has now been set to 8.1% for everyone. If invoices still need to be created at 7.7%, simply select this tax rate alternatively via the dropdown.
4. Invoicing period 2024
Invoice services for 2024 with the new tax rate.
Once you no longer need the rates for 2023, you can deactivate them in the settings so they don't clutter the tax rate selection. Until then, you benefit from the flexibility of both tax rates during the transition phase and can decide individually per invoice or override the standard.
Invoice services for 2024 with the new tax rate.
Once you no longer need the rates for 2023, you can deactivate them in the settings so they don't clutter the tax rate selection. Until then, you benefit from the flexibility of both tax rates during the transition phase and can decide individually per invoice or override the standard.
Advance and final invoices
If an advance invoice is created at 7.7% and the final invoice is due in 2024 at 8.1%, MOCO automatically applies a VAT correction when using the "advance invoice" automation.
Example:
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! Due to the complexity of the matter and possible special cases, we recommend consulting with the tax administration or your fiduciary office.
Example:
(English image not yet available)! Due to the complexity of the matter and possible special cases, we recommend consulting with the tax administration or your fiduciary office.
Cross-year services
Cross-year services such as subscriptions or hosting fees must be invoiced separately for each time period. In some cases, cross-year services can also be fully invoiced at 8.1%.
! For safety, we recommend consulting with the tax administration or your fiduciary office.
! For safety, we recommend consulting with the tax administration or your fiduciary office.
Proposals
💡Proposals relating to services in 2024 should already be created at 8.1% to ensure the correct tax rate is applied during invoicing.
Expenditures
1. Conclude 2023
Record all invoices with a service period in 2023 using the old tax rates.
2. Change tax rate
In the settings under "Accounting" > "Tax Rates" select 8.1% as the standard.
Record all invoices with a service period in 2023 using the old tax rates.
2. Change tax rate
In the settings under "Accounting" > "Tax Rates" select 8.1% as the standard.
3. When using accounting export: Adjust tax keys (in settings > Accounting).
3. When using expense accounts/categories: Adjust tax rates for expense accounts (in settings > Accounting).
3. When using expense accounts/categories: Adjust tax rates for expense accounts (in settings > Accounting).
General
Once you no longer need the rates for 2023, you can deactivate them in the settings so they don't clutter the tax rate selection. Until then, you benefit from the flexibility of both tax rates during the transition phase and can decide individually per invoice or override the standard.
MOCO will automatically deactivate the old tax rates at the end of February. If you still need them in exceptional cases, activate them manually again.
MOCO will automatically deactivate the old tax rates at the end of February. If you still need them in exceptional cases, activate them manually again.
Links
DSG from 1 September 2023
Background
On 1 September 2023, the revised version (nDSG) of the Data Protection Act of 1992 comes into effect. Among other things, the goal was to harmonise with the General Data Protection Regulation (GDPR) of the EU, and the nDSG ensures that the free flow of data with the EU can continue.
What this means for me in connection with MOCO
The new DSG covers data of natural persons – that is, all users and contacts in MOCO. Companies are obliged to comply with the new regulations. This also includes choosing a reputable software provider that provides a Data Processing Agreement (DPA). This clearly outlines how personal data is handled.
DPA from September
From 1.9.2023, the standard Data Processing Agreement (also known as DPA) is available for confirmation in your MOCO account.
The account holder receives a notification and is directly forwarded to the DPA with a click.
All information on data protection in accordance with the stricter EU-GDPR, including a list of all subcontractors with countries and possible opt-outs.
DPA from September
From 1.9.2023, the standard Data Processing Agreement (also known as DPA) is available for confirmation in your MOCO account.
The account holder receives a notification and is directly forwarded to the DPA with a click.
All information on data protection in accordance with the stricter EU-GDPR, including a list of all subcontractors with countries and possible opt-outs.
