The Swiss government wants to curb shopping tourism. In future, anyone living in Switzerland and shopping across the border will only be able to import goods worth CHF150 ($170) duty-free instead of CHF300.
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The finance ministry, which has opened a consultation on this, is proposing to reduce the so-called value-free limit for travel to CHF150 per person from January 1, 2025. An even lower amount would disproportionately increase the cost of customs clearance and checks at border crossings, the finance ministry wrote on Thursday. More smuggling would also have to be expected.
An ordinance must be amended to lower the tax-free limit. Due to the scope of such an adjustment, a consultation will be carried out, the finance ministry wrote. It is also planning control measures to ensure that the majority of customs clearances are processed digitally in future.
In particular, the customs clearance application “QuickZoll” is to be adapted. An extension to enable customs clearance in the app at a reduced VAT rate is expected to be possible on January 1, 2027.
Parliament’s demand
With this proposal, the finance ministry wants to implement a parliamentary demand. However, the motion approved by parliament calls for the value exemption limit to be adjusted to the export de minimis limit of the country of origin. This is the minimum purchase amount abroad that must be reached per sales transaction or per invoice for the VAT to be refunded.
According to the finance ministry report, however, this is not a suitable proposal. This would make the application of the regulations extremely complex for travellers and the Federal Office for Customs and Border Security, it points out.
The government had recommended that the initiatives adopted by parliament be rejected. At the time, it argued that they would not save the retail trade in the border regions but would rather lead to people circumventing the new rules and therefore smuggling goods much more easily.
The consultation will last until March 15, 2024.
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