Thanks to low taxes in Switzerland habitually wins fight to bring a large transnational business …
Thanks to low-tax Switzerland habitually wins in the fight to bring in its jurisdiction a large transnational business. Meanwhile, the struggle is not only internationally but also domestically
From the 1960″s tone in the internal competition for investment asked Zug, which is chosen for offices such well-known giants as Johnson Johnson, Burger King and Siemens.
As Zug exhaust the potential of real estate and office space, the smaller cantons in the neighborhood of being incorporated into the game, writes The Wall Street Journal .. “In Zug, many years ago was made a correct decision that there should be a competitive tax system. Now we can observe the same trend among neighboring cantons who are trying to attract business,” - says PricewaterhouseCoopers partner George Meyer in Zurich.
At international level, Switzerland is competing with countries such as Ireland, the Netherlands, Britain and Germany. Among the main attractions of factors - infrastructure, an effective system of protection of intellectual property rights, the presence of leading research universities, but really a great advantage is the low tax rates.
Here in Switzerland it is the cantons that have much greater autonomy than U.S. states, play a decisive role in the struggle for large corporate taxpayers.
Two-thirds of the total amount of taxes levied at the cantonal level, the cantons also have considerable autonomy in setting social charges and fees, issuing permits for doing business, managing the construction.
Federal corporate income tax in Switzerland is 8,5%. At the cantonal level can set their own tax rates. Based on average cantonal and local taxes, the average rate of corporate income tax in Switzerland is 21.2%, compared with about 30% in Germany and 25.5% in the Netherlands, estimated analysts KPMG.
According to the report, KPMG (Corporate and Indirect Tax Rate Survey 2009), in 2009 the lowest tax rate on corporate income in Switzerland was recorded in the cantons of Obwalden and Appenzell Outer-Rhodes (12,5%). In this country there are certain benefits, such as holding companies. When preferential effective tax rate the company in Switzerland can be significantly reduced - to a minimum level of 5%. In addition, in some regions the company can get tax breaks for the period up to 10 years, said KPMG.
Corporation, for their part, try to optimize the tax burden and active transport activities in regional offices. According to consulting firm McKinsey Co., For the period from 1998 to 2008 in Switzerland was opened more than 180 regional headquarters of major international companies. Only in recent years have moved here Kraft, Procter Gamble, Yahoo, Google. Offices and representations in Switzerland is among more than 150 American companies.
in 2007 in Zug were established in 1600 for new companies. Last year, when many companies temporarily halted plans to transfer business for reasons of economy, this figure was about half, but representatives of the Canton because of the economic downturn believe this momentum to be satisfactory.
Meanwhile Zug becomes a victim of its own success, lack of office and residential space.
“If I had someone say that he is going to work here a year and a staff of 500 people, and that a square near the railway station, I can not ensure that these requirements” - recognizes Hans Marti, Head of Economic Development Council Zug. Thus, according to The Wall Street Journal, a few years ago, the giant consumer market, the company Unilever has created a regional unit of tfa0he supply chain in Schaffhausen, because it could not find the necessary space in Zug, which previously housed partly in this direction.
internal competition escalates. In 2006, Obwalden set its rate at 12.7%, lower than in Zug. Now the Canton of Schaffhausen in 2008, halve the corporate tax (16%) and focuses on the availability of private housing and proximity to Zurich airport, to which only 30 minutes away.
Geneva is also a key focus for large companies trying to expand its jurisdiction hedge funds with relatively low tax rates on personal income compared to other major cities outside Switzerland. For example, in the UK rate for those with income of more than 150 thousand pounds per year (240 thousand dollars) was raised from 40% to 50%. For comparison, in Switzerland wealthy taxpayers pay about 35%.
And although many hedge funds have chosen to remain in London, according to sources, The Wall Street Journal, at least two major market participant plan to relocate its offices in Geneva: BlueCrest Capital Management and Brevan Howard Asset Management with the volume of assets under management of 17 billion and 27 billion dollars.
Overview of the oil market for 02.02.10
Forex: Euro confidently holds above 1.4000
Looking at today”s market
Domestic expensive sugar, wholesalers predict that 12 UAH /kg - no limit
China will intensify introduction of new varieties of crops derived from genetic engineering
Markets do not wait for the shocks from the G7 meeting in Canada
Lime soul
How can I reduce the “something I do not know that”: no one has not determined how many public servants to Ukraine …
Recommendations on the stock market: Lukoil, Norilsk Nickel, Rostelecom, Gazprom, Mosenergo, Surgutneftegaz, Sberbank “
By the middle of trading interests of investors have shifted from the communications sector in the energy sector
Lessons from the Swiss investment
Thanks to low taxes in Switzerland habitually wins fight to bring a large transnational business …
Thanks to low-tax Switzerland habitually wins in the fight to bring in its jurisdiction a large transnational business. Meanwhile, the struggle is not only internationally but also domestically
From the 1960″s tone in the internal competition for investment asked Zug, which is chosen for offices such well-known giants as Johnson Johnson, Burger King and Siemens.
As Zug exhaust the potential of real estate and office space, the smaller cantons in the neighborhood of being incorporated into the game, writes The Wall Street Journal .. “In Zug, many years ago was made a correct decision that there should be a competitive tax system. Now we can observe the same trend among neighboring cantons who are trying to attract business,” - says PricewaterhouseCoopers partner George Meyer in Zurich.
At international level, Switzerland is competing with countries such as Ireland, the Netherlands, Britain and Germany. Among the main attractions of factors - infrastructure, an effective system of protection of intellectual property rights, the presence of leading research universities, but really a great advantage is the low tax rates.
Here in Switzerland it is the cantons that have much greater autonomy than U.S. states, play a decisive role in the struggle for large corporate taxpayers.
Two-thirds of the total amount of taxes levied at the cantonal level, the cantons also have considerable autonomy in setting social charges and fees, issuing permits for doing business, managing the construction.
Federal corporate income tax in Switzerland is 8,5%. At the cantonal level can set their own tax rates. Based on average cantonal and local taxes, the average rate of corporate income tax in Switzerland is 21.2%, compared with about 30% in Germany and 25.5% in the Netherlands, estimated analysts KPMG.
According to the report, KPMG (Corporate and Indirect Tax Rate Survey 2009), in 2009 the lowest tax rate on corporate income in Switzerland was recorded in the cantons of Obwalden and Appenzell Outer-Rhodes (12,5%). In this country there are certain benefits, such as holding companies. When preferential effective tax rate the company in Switzerland can be significantly reduced - to a minimum level of 5%. In addition, in some regions the company can get tax breaks for the period up to 10 years, said KPMG.
Corporation, for their part, try to optimize the tax burden and active transport activities in regional offices. According to consulting firm McKinsey Co., For the period from 1998 to 2008 in Switzerland was opened more than 180 regional headquarters of major international companies. Only in recent years have moved here Kraft, Procter Gamble, Yahoo, Google. Offices and representations in Switzerland is among more than 150 American companies.
in 2007 in Zug were established in 1600 for new companies. Last year, when many companies temporarily halted plans to transfer business for reasons of economy, this figure was about half, but representatives of the Canton because of the economic downturn believe this momentum to be satisfactory.
Meanwhile Zug becomes a victim of its own success, lack of office and residential space.
“If I had someone say that he is going to work here a year and a staff of 500 people, and that a square near the railway station, I can not ensure that these requirements” - recognizes Hans Marti, Head of Economic Development Council Zug. Thus, according to The Wall Street Journal, a few years ago, the giant consumer market, the company Unilever has created a regional unit of tfa0he supply chain in Schaffhausen, because it could not find the necessary space in Zug, which previously housed partly in this direction.
internal competition escalates. In 2006, Obwalden set its rate at 12.7%, lower than in Zug. Now the Canton of Schaffhausen in 2008, halve the corporate tax (16%) and focuses on the availability of private housing and proximity to Zurich airport, to which only 30 minutes away.
Geneva is also a key focus for large companies trying to expand its jurisdiction hedge funds with relatively low tax rates on personal income compared to other major cities outside Switzerland. For example, in the UK rate for those with income of more than 150 thousand pounds per year (240 thousand dollars) was raised from 40% to 50%. For comparison, in Switzerland wealthy taxpayers pay about 35%.
And although many hedge funds have chosen to remain in London, according to sources, The Wall Street Journal, at least two major market participant plan to relocate its offices in Geneva: BlueCrest Capital Management and Brevan Howard Asset Management with the volume of assets under management of 17 billion and 27 billion dollars.
Overview of the oil market for 02.02.10
Forex: Euro confidently holds above 1.4000
Looking at today”s market
Domestic expensive sugar, wholesalers predict that 12 UAH /kg - no limit
China will intensify introduction of new varieties of crops derived from genetic engineering
Markets do not wait for the shocks from the G7 meeting in Canada
Lime soul
How can I reduce the “something I do not know that”: no one has not determined how many public servants to Ukraine …
Recommendations on the stock market: Lukoil, Norilsk Nickel, Rostelecom, Gazprom, Mosenergo, Surgutneftegaz, Sberbank “
By the middle of trading interests of investors have shifted from the communications sector in the energy sector