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Welcome to Canton Schwyz

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Welcome to Canton Schwyz Office for Economy Welcome to Canton Schwyz www.schwyz-economy.ch Table of contents Foreword 4 My Switzerland 8 My Canton Schwyz 12 Business environment 13 Focus industries 13 Starting a business 16 Taxes 20 Legal entities 20 Individuals 25 Labour market 30 Training 31 Quality of life 31 Personal consultation 34 3 Grüezi Are you thinking about moving your company to Switzerland or setting up a subsidiary here? If so, why not make Canton Schwyz your chosen place to live and work? A cordial welcome to you! Schwyz is a microcosm of Switzerland itself. Not only are the names and coat of arms very similar – the parallels between them are more far-reaching. Just as Switzerland is independent and internationally well-connected as a country, Canton Schwyz has proven itself an autonomous industrial base resilient to economic ups and downs, and offers the additional benefit of wide-rang- ing co-operations both within Switzerland and abroad. The Canton’s consistent top ratings speak for themselves. Schwyz experiences an era of growth – a pleasing situation which however requires our unwavering commitment to sustainable development. Therefore, the Canton’s policy is one of sustained and sustainable development of our region as a wonderful place to live in and an interesting place to set up business. More and more companies take an interest in our canton, which minds its resources and fosters the qualities it has to offer. We invite you to discover the benefits of Schwyz for yourself. Andreas Barraud – Member of the Government, Canton Schwyz Head of the Department for Economic Affairs 4 5 6 7 To be sure of a life of prosperity, security and good health, you My Switzerland would have had to be born in Switzerland in the year 2013. This was the conclusion arrived at by the EIU research unit of the Brit- Switzerland finds itself in a privileged position: It is part of Central ish magazine The Economist: Switzerland is rated number one in Europe and the main European cities are within easy reach, while the “Where-to-be-born Index”. three out of the four largest European economies are neighbouring countries. Switzerland in figures 1 Sources: Liberales Institut, 2019 2 STOCKHOLM Source: Swiss Federal Global Competitiveness 2½H COPENHAGEN 1,500 km Statistics Office, 2018 Report 2019 1,000 km 1¾H 2 German Innovation Surface area Population 3 Source: Swiss Federal 41,277 km² 8,544,527 Indicator 2018 BERLIN Statistics Office, 2017 LONDON H ¾H 1½ 800 km 800 km 4 Source: Swiss Federal MUNICH 510 km Statistics Office, 2018 PARIS H H 1¼ 1 VIENNA 510 km 1½H 590 km MILAN 1H 180 km 1½H ROME 650 km Currency GDP3 Swiss francs per GDP (CHF) person CHF 60,313 Switzerland is a small country of international standing. Econom- ically speaking, it is Europe‘s most liberal country, as well as 4 being one of the most competitive and innovative nations in the Inflation rate Value Added Tax world.1 It is divided into a number of cantons with far-reaching decision-making powers. There is a high level of political stabil- ity even though the country has several languages and cultures 0.9% within a relatively small area. There are four national languages 7.7% in Switzerland: German, French, Italian and Romansh. English is also very widespread. Switzerland has an effective legal system, a powerful currency with a low rate of inflation, comprehensive protection of intellectual property and liberal employment laws – qualities which are especially important when it comes to pur- suing business activity. 8 MY SWITZERLAND 9 10 11 My Canton Schwyz Business environment Schwyz borders on the conurbation areas of Zurich, Zug and Canton Schwyz lies in the heart of Switzerland. In addition to Lucerne and forms part of the Greater Zurich Area. GDP growth its central location, Schwyz is also one of the country‘s founding in the canton is above the Swiss average and productivity is cantons and gave the entire nation its name. remarkably high. Distances here are short. Zurich International Airport is 45 min- The canton’s economic and living areas have continued to grow utes by car from the cantonal capital, Schwyz. In terms of road more popular. This is reflected in the steadily increasing number and rail transportation, the canton is ideally situated on north- of domiciled companies and a growing population. The various south and east-west links. designated zones for economic development in Canton Schwyz with their ample space and land reserves are crucial to the pros- pects and current success of the region. For further information on development areas ZURICH Zurich in Canton Schwyz, see 1½H 1½H ¾H www.schwyz-economy.ch BASEL ST. GALLEN ZURICH ½H WEB BERN 1¾H LUCERNE SCHWYZ 1½H LACHEN ZURICH / BASEL CHUR PFÄFFIKON SZ CHUR Zug A3 2¾H LAUSANNE ARTH-GOLDAU STATION SITE EINSIEDELN 3½H H LUGANO GENEVA 1¾ LUCERNE / BASEL A4 Lucerne Schwyz SEEWEN ZEUGHAUS SITE 4,5 HA People who live and work in Canton Schwyz are in a heterogene- KÜSSNACHT FÄNN BRUNNEN ous environment. Modern development zones alternate with pris- 10 HA NORTH 11 HA tine landscapes, imposing mountains and deep blue lakes. These ALTDORF / GOTTHARD form the backdrop to an economically successful yet authentic MILAN region steeped in tradition. The canton also boasts an impressive credit rating: With an AAA rating with Credit Suisse, Schwyz has been given the highest possible ranking. Focus industries Canton Schwyz has a diverse corporate landscape. In addition to For further information a particular focus in the areas of life sciences, specialized finan- on focus industries and clusters, see cial services and blockchain/artificial intelligence (AI), the loca- www.schwyz-economy.ch tion is also attractive for international headquarters. This focus on certain sectors is reflected in a finance cluster in the Pfäffikon WEB SZ area, a cluster in health technology as well as new projects in blockchain and artificial intelligence. 12 MY CANTON SCHWYZ 13 14 15 These companies have opted for Canton Schwyz Estée Lauder AG Kühne + Nagel LGT Capital Partners AG Man Investments AG International AG Sector: Life science Sector: Finance Sector: Finance Function: Supply chain Sector: Logistics Function: Headquarters, Function: Product management, production Function: Headquarters product development, development, marketing and sales Site: Schindellegi marketing and sales and sales Site: Lachen Site: Pfäffikon SZ Site: Pfäffikon SZ Max Felchlin AG Octapharma AG Proman AG Victorinox AG Sector: Food Sector: Life science Sector: Industrial plant Sector: Knife manufacturer Function: Headquarters, Function: Headquarters, engineering Function: Headquarters, production, marketing research, marketing Function: Headquarters production, marketing and sales and sales Site: Wollerau and sales Site: Schwyz Site: Lachen Site: Ibach Starting a business For further information Starting a business in Switzerland is straightforward. Essential- on starting a business, see ly, anyone can operate a company. Certain professions require www.schwyz-economy.ch a special permit. Since the canton is a strong financial centre, WEB entrepreneurs have easier access to investors. 16 MY CANTON SCHWYZ 17 18 19 Taxes Tax on capital8 8 Equal to minimum tax 5 Source: BAK Canton Schwyz has one of the lowest tax burdens5 in Switzerland The following figures show the tax burden on taxable capital in the form of cantonal, district and municipal tax. There is no federal tax on capital. Taxation Index 2017 and occupies a leading position in Europe as a whole. Its fiscal 6 Minimum tax is equal policy is sustainable and far-sighted. This makes it an attractive to capital tax Capital Wollerau Freienbach Lachen Küssnacht Einsiedeln Schwyz location for both legal entities and individuals. Pfäffikon SZ 7 Source: BAK 100,000 248 249 314 343 417 403 Taxation Index 2017 Legal entities 250,000 248 249 314 343 417 403 1,000,000 248 249 314 343 417 403 As regards corporate income tax in Canton Schwyz, legal entities 5,000,000 372 373 472 515 625 605 are subject to a minimum tax6 based on the company’s equity; 10,000,000 744 746 943 1,029 1,250 1,209 this tax is charged as a minimum amount. If the corporate income tax turns out to be higher than the minimum tax, the latter is not (STATUS 2020, AMOUNTS IN CHF) payable. The level of these two taxes is based on the applicable Only the higher of the two amounts is payable: corporate income tax or minimum tax. municipal tax rate. In several locations in Canton Schwyz, the ef- fective tax burden for companies is more attractive than in many well-known places such as Zug, Zurich, Dublin, London, New York International comparison and Singapore.7 The only federal tax is corporate income tax. Corporate income tax International comparison of the effective average tax burden for companies. The following figures apply to corporations (companies limited by shares, limited liability companies) and cooperatives. They show the tax burden on taxable corporate income in 50 the form of cantonal, district, municipal and church tax (not including federal tax and 45 minimum tax). Special tax-related factors (participation exemption, intercantonal tax 40 allocation, additional deductions, etc.) are not accounted for in this calculation. 35 30 Profit before Wollerau Freienbach Lachen Küssnacht Einsiedeln Schwyz 25 taxes Pfäffikon SZ 20 15 100,000 4,267 4,279 5,349 5,807 6,965 6,754 10 250,000 10,667 10,697 13,372 14,516 17,412 16,884 5 T S E E E G H N IN YZ VA RK EN CH NA ON NG AW RI IC TL AR OR ZU 1,000,000 42,670 42,787 53,486 58,066 69,646 67,537 RN BL RI LD AGUE USEN EN RS KO OURG ND PA AT TG ALDE AP CE VI ZU DU W YO GENE PR MUN SCHW 5,000,000 213,348 213,933 267,431 290,328 348,232 337,685 WA LO WA MB SE HANGHAI LU NG DW NE S OB XE SI STUT NI 10,000,000 426,696 427,865 534,862 580,657 696,465 675,370 HONG HAFFHA LU (STATUS 2020, AMOUNTS IN CHF) SC maxmin cap The following figures are based on the same scenario as above, including federal tax.
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