Tax Withheld at Source

Tax Withheld at Source

Income tax which is withheld at source is deducted from the monthly pay.

Persons liable for tax
Foreign nationals, who have tax domicile or tax residence in the Canton Basel-City but are not in possession of a Swiss type C permanent residence permit, are obliged to have tax withheld at source on their income earned from paid employment. This applies to holders of the following permits:

  • type B - annual permits
  • type F – temporarily admitted refugees
  • type N – asylum seekers in employment
  • type L – short-term residency
  • persons with confirmation of a EG/EFTA permit


Exempted from the obligation to have tax deducted, despite not possessing a settlement permit, are persons who are married and living in a legal and intact marriage with a spouse who has Swiss citizenship or possesses the Swss type C permanent residence permit.

Does Kelly require the original of the certificate of residency,  Germany – Ansässigkeitsbescheinigung, France  - Attestation de résidence fiscale?
Yes, Kelly needs the original of the certificate of residence (Germany: form Gre-1A/France: Form 2041-AS).

German cross border commuters
In accordance with the Convention between Switzerland and Germany for the prevention of double taxation on income and capital, cross border commuters living in Germany and working in Switzerland are subject to deduction of tax from their gross pay. The German certificate of residency is valid for one year and must be submitted to the employer (Kelly). Tax will then be deducted at the rate of 4.5%. Failure to supply this form will result in tax being deducted at a higher rate (see list of rates).

French cross border commuters
French cross border commuters working in Switzerland are issued with a certificate of tax residence (Attestation de résidence fiscale française des travailleurs frontaliers franco-suisse – form 2041-ASK or form 2041-AS) which must be presented to the employer (Kelly Services). To be released from the obligation to have tax deducted from pay, presentation of the certificate by the affected employee is mandatory. The certificate must be submitted by the employer to the cantonal tax authorities.
 
Persons living in France and working in Switzerland, who do not provide a certificate of tax residence (Attestation de résidence fiscale française des travailleurs frontaliers franco-suisse – form 2041-ASK or form 2041-AS) for the current year, are subject to the tax regulations  of Basel-City and tax will be deducted each month from their pay, according to the rates shown in tax scales.

Further information on the basis for the tax rate calculations can be found under the following link:
http://www.steuerverwaltung.bs.ch/19000_mb_qst_a_14-03_wegleitung_und_tarife.pdf 
 

Overview