Federal Supreme Court Changes Practice On Intercantonal Double Taxation

Change in practice by the Federal Supreme Court improves taxpayers' chances of taking action against intercantonal double taxation

In practice, the question sometimes arises as to whether intercantonal double taxation must be accepted or how it can be tackled. The following ruling by the Federal Supreme Court dates back to last year. Nevertheless, it is worth taking a closer look at it, as the Federal Supreme Court has changed its previous practice on intercantonal double taxation in favor of taxpayers. Taxpayers who are affected by the threat of double taxation can now successfully defend themselves against it in many cases.

Previously, even in the event of effective intercantonal double taxation, taxpayers forfeited the right of appeal or the right to challenge the (legally binding) cantonal assessment of the first canton of assessment if they unconditionally acknowledged their tax liability in the first canton of assessment in the knowledge of the competing