Import VAT (Einfuhrsteuer): Who Qualifies and What You Get
Understand the basics of Import VAT for businesses bringing goods into Switzerland and why dropshippers need to be careful with these costs.
Import VAT, also referred to as Einfuhrsteuer, is a tax that applies to goods being brought into Switzerland from abroad.
Who it's for
This requirement is for businesses that are importing goods into the country.
What you get
The scheme dictates that this tax is paid at the time of import. This is a standard part of the process for bringing commercial goods across the border.
What it costs you
The cost involves the payment of the tax in CHF. Because this is a tax on imports, the financial obligation arises when the goods are being brought into the country.
The catch to know
The most common mistake occurs with dropshippers. If your business model involves shipping goods directly to your customers rather than holding them in your own inventory, you might find it difficult to account for this tax. Many dropshippers miscalculate their expenses because they do not fully factor in how this tax applies when goods are moving straight to the end user.
How to apply
- Identify if your business model involves importing goods into Switzerland.
- Note that the tax is due at the time of import.
- Ensure you are prepared for the cost in CHF when goods arrive.
- Review your shipping and logistics model to ensure you have accounted for these import taxes.