Reviewing tax assessments is crucial for both private individuals and businesses. Errors or overlooked details can result in significant financial burdens and create legal risks. A systematic review and, if necessary, a well-founded appeal are essential. Below are five key aspects to consider when reviewing tax assessments, applicable to both corporate tax and individual taxpayers.
Has the appeal deadline been met?
The legal deadline for filing an appeal is 30 days from the date of delivery of the tax assessment notice (Art. 132 DBG). This deadline is mandatory and applies equally to businesses and private individuals. If missed, a deadline extension can only be requested under specific circumstances (e.g., unforeseen obstacles).
Tip: For businesses, ensure tax assessments are systematically recorded and deadlines monitored through an internal control system.
Were all relevant tax positions accurately recorded?
For companies, this includes the proper accounting of depreciation, provisions, loss carry forwards, and internal allocations. For private individuals, key focus areas include deductions for professional expenses, Pillar 3a contributions, or medical costs.
Recommendation: Compare the tax assessment in detail with the submitted tax return and identify any discrepancies. This is especially important for complex tax scenarios such as intra-group transactions or international tax matters.
Have discrepancies been adequately explained by the tax authority?
Both businesses and private individuals are entitled to receive a clear and factual explanation from the tax authority regarding any discrepancies with the submitted tax return. Insufficient or missing justifications are a potential basis for filing an appeal.
Tip: Businesses should ensure that during tax audits, all changes are thoroughly documented to support a well-prepared appeal later.
Is the appeal well-structured and properly documented?
An appeal must be clearly and precisely formulated. For businesses, this involves substantiating complex tax matters, such as transfer pricing, with appropriate evidence like documentation or expert opinions. Private individuals typically require a concise argument supported by relevant evidence.
Tip: Include supplementary documents in an organized and complete manner to strengthen your appeal.
What are the next steps if the appeal is rejected?
If the appeal is rejected, there is still the option to pursue legal remedies. For businesses, this could mean contesting decisions on complex tax issues with the cantonal tax appeal commission or the administrative court. However, the costs and risks of legal proceedings should be carefully considered.
Tip: Early legal advice is particularly important for businesses to make strategic decisions regarding further actions.
Reviewing tax assessments and invoices is a critical step for companies and private individuals to prevent errors and safeguard their legal rights. A well-prepared appeal can not only reduce the tax burden but also mitigate future risks.
Do you need assistance in reviewing your tax assessment or filing an appeal? Contact us – we provide professional and competent advice!
