Art. 306 Tax Act (StG) - Change in Temporal Assessment

1. The transition from biennial assessment with retrospective calculation to annual assessment with current calculation for natural persons will take place at the beginning of the year 2001.

2. The income tax for natural persons for the first tax period following the transition will be assessed according to the new law.

3. Extraordinary income, which is earned in the years 1999 and 2000 or during a fiscal year concluded within these years, is subject to a full annual tax at the rate determined solely by this income for the tax year in which it was received; Articles 39 and 40 of this law are reserved. The general deductions under Article 35 and the social deductions under Article 37 of this law are not granted. Expenditures directly related to the generation of extraordinary income can be deducted.

4. Extraordinary income particularly includes capital gains, periodic and non-periodic asset returns, lottery winnings, as well as extraordinary income from independent self-employment, in analogous application of Article 298, paragraph 3 of this law.

5. If there is a tax liability in the canton as of January 1, 2001, the extraordinary expenditures incurred on average during the years 1999 and 2000 will be additionally deducted from the taxable income that was the basis for the 1999/2000 tax period. Assessments that have already become legally binding will be revised in favor of the taxable person. The procedure is subject to the analogous application of Article 228 of this law. Overpaid tax amounts will be refunded without interest on the refund.

6. Extraordinary expenditures are considered to be

a. Maintenance costs for real estate, insofar as they annually exceed the lump-sum deductions according to Article 15, paragraph 4 of the implementing ordinance to the old tax law; the relevant factor is the age of the real estate as of January 1, 1999;

b. Contributions by the insured to occupational pension schemes for the purchase of contribution years;

c. Costs related to illness, accident, disability, further education, and retraining, to the extent that these exceed the already considered expenditures.

← Art. 305 StG Tax Act (StG) - Subject Matter of the Act Art. 307 StG - Tax Return for Transition Period 1999/2000 →