According to Swiss Parliament, the loss carry forward period for companies is to be extended from 7 to 10 years. This to enable companies affected by the corona pandemic to recover better. In this respect the Swiss Federal Council has worked out the legal amendments and opened a consultation on June 28, 2023. The consultation period runs until October 19, 2023.

In order to implement a motion that was passed by the Swiss Parliament in June 2022, the loss carry forward period in the Bundesgesetz über die direkte Bundesteuer (DBG) (the Federal law on direct Federal tax) and in the Bundesgesetz über die Harmonisierung der direkten Steuern der Kantone und Gemeinden (StHG) (the Federal law on the Harmonization of Direct taxes of the Cantons and Municipalities is to be extended from 7 to 10 years. With this measure, the Swiss Parliament intends to make it easier for companies affected by the corona pandemic to recover, but it should explicitly benefit all companies and apply to losses from 2020 onwards.

For companies that have suffered badly during the corona pandemic, the extended loss carry forward period may make it easier to rebuild their business. However, start-ups that require a longer development phase before they can make a profit should also benefit from the measure.

The preliminary draft law on the extension of the carry forward position can be found here in the German, French and Italian languages.

A comparison with the currently applicable laws can be found here in the German, French and Italian languages.

The Explanatory report on the opening of the consultation process can be found here in the German, French and Italian languages.

A letter to the cantons can be found here in the German, French and Italian languages.

A letter to organisations can be found here in the German, French and Italian languages.

A list of addressees can be found here.

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