VAT rates will be raised in Switzerland on January 1, 2024. A change that still seems a long way off for many, but is already having an impact - including on the event industry. In this article, we provide you with the most important information on the adjustment of VAT rates.
As of January 1, 2024, the standard tax rate will increase from 7.7% to 8.1%, the special rate for accommodation services from 3.7% to 3.8% and the reduced rate from 2.5% to 2.6%. This is a consequence of the federal vote on the amendment to the AHV Act and the federal decree on the additional financing of the AHV. This increase in VAT rates therefore also has an impact on the event industry.
Cultural services provided in Switzerland and sporting events are exempt from VAT. These are therefore generally not subject to VAT. However, event organizers who have voluntarily opted to be subject to VAT must take the VAT rate increase into account. For events in 2023, the old VAT rate of 2.5% still applies. Events that are held in 2024 but are already on sale in 2023 must be charged at the VAT rate of 2.6% with immediate effect. This also applies to events postponed to 2024. In addition, for events that take place in 2024 and are not billed by Ticketcorner until then, the VAT rate on advance booking fees (ASF) and system fees (SG) will increase from 7.7% to 8.1%.
Ticketcorner has held a webinar to make the whole issue easier to understand. The recording and the factsheet in German, French, Italian and English with further information can be found here: