🇨🇭 Switzerland (GmbH/AG)

Swiss corporate tax is levied at three levels: federal, cantonal and municipal. According to KPMG's Swiss Tax Report 2025, the national average corporate tax rate is 14.4%, with Zug lowest at 11.85% and Bern highest at 20.54%, followed by Zurich at 19.61%. GmbHs and AGs are subject to the same rate; a GmbH's minimum capital of CHF 20,000 must be fully paid in. Foreign nationals may hold 100% of the shares, but under the Swiss Code of Obligations the company must have a director or manager resident in Switzerland who can represent the company. Groups with consolidated revenue above €750 million are additionally subject to the 15% Pillar Two minimum tax.

Switzerland (GmbH/AG) Key conditions at a glance

Common Company Types	GmbH (Limited Liability) / AG (Public Limited Company)
Corporate income tax	Combined federal + cantonal + municipal: national average 14.4%; Zug lowest at 11.85%, Bern highest at 20.54%, Zurich 19.61% (KPMG Swiss Tax Report 2025)
Statutory minimum capital	GmbH: CHF 20,000, fully paid-in required (Code of Obligations Art. 773); AG: CHF 100,000, at least 20% paid-in and not less than CHF 50,000 (Arts. 621–622 and 632)
Estimated establishment costs	Approximately CHF 2,000–5,000 (including notarization and registration)
Annual maintenance	Statutory capital, annual financial reports, and audits based on scale; registered address
Substance/Reporting Requirements	Must have a director or manager resident in Switzerland with authority to represent the company (Code of Obligations, Articles 718 and 814); UBO disclosure; CRS
Suitable for purpose	Holding, wealth management, trade, IP
Bank account opening	Local substance aids in account opening, with strict KYC requirements.
Recent Changes	Pillar Two domestic minimum top-up tax (QDMTT) of 15% has been effective since 1 January 2024 for multinational groups with combined annual revenue of at least €750 million; the Income Inclusion Rule (IIR) becomes effective from 1 January 2025.

Switzerland (GmbH/AG) Key considerations

Effective tax rates vary significantly by state and municipality; the choice of establishment location directly impacts tax liabilities.
Generally requires at least one representative residing in Switzerland with signing authority to enhance local demand.
Statutory minimum capital differs between GmbH and AG (GmbH CHF 20,000 fully paid-in; AG CHF 100,000, at least CHF 50,000 paid-in), and notarisation costs are higher; home-country CFC rules may still apply.

How much do Swiss corporate tax rates vary by canton? Zug 11.85%, Zurich 19.61%, Bern 20.54%

Switzerland does not have a single corporate tax rate: in addition to federal tax, cantons and municipalities levy their own taxes, and the combined rate depends on where the company is registered. According to KPMG's Swiss Tax Report 2025 published on 20 May 2025, the national average corporate tax rate fell from 14.6% the previous year to 14.4%; the most attractive is Zug at 11.85%, while the highest are Bern at 20.54%, Zurich at 19.61% and Valais at 17.12%.

Some low-tax cantons have begun raising rates in response to the global minimum tax: Geneva from 14% to 14.7%; Basel-Stadt, from 2026, from 13.04% to 14.53% on profits above CHF 50 million. SMEs are generally not affected by the 15% minimum tax, but when choosing a canton you should still look at the latest annual rates, not just old rankings.

Source: KPMG Switzerland — Swiss Tax Report 2025 (press release dated 2025-05-20: comparison of corporate tax rates by canton)

Can foreign nationals establish a Swiss company? A representative resident in Switzerland is required

Yes—foreign nationals may hold 100% of a Swiss GmbH or AG, and Swiss law does not require shareholders or directors to be Swiss nationals. However, under Article 718 (AG) and Article 814 (GmbH) of the Swiss Code of Obligations, the company must be able to be represented by a person resident in Switzerland; that person must be a member of the board of directors or a manager of an AG, or a managing director or manager of a GmbH. The relevant factor is residency, not nationality.

Therefore, investors with no one resident in Switzerland generally need to appoint a local resident as a director or manager with signing authority, which is an ongoing annual cost. The incorporation itself must be notarised and registered with the cantonal commercial register; after registration, company information can be viewed free of charge on Zefix.

Source: Swiss Code of Obligations (SR 220), Articles 718 and 814 (Swiss-resident representative required)

Switzerland (GmbH/AG) Application process

Select the state (canton) for establishment and prepare the statutory capital.
Establish a GmbH or AG through notarization and register with the commercial registry.
Arrange for a Swiss resident to sign on behalf and provide a registered address.
Open a bank account and submit annual financial reports as required.

Switzerland (GmbH/AG) Frequently Asked Questions

Which is more suitable, GmbH or AG?

Both have the same tax rate; GmbH requires minimum capital of CHF 20,000 (fully paid-in) and shareholder registration, while AG has a minimum capital of CHF 100,000 (at least CHF 50,000 paid-in) but offers greater shareholding privacy. The choice should be based on capital, privacy and intended use, subject to official rules.

Which Swiss canton has the lowest corporate tax?

According to KPMG's Swiss Tax Report 2025, Zug has the lowest rate at 11.85%, while the national average is 14.4%; Bern is highest at 20.54%, followed by Zurich at 19.61%. Some low-tax cantons are raising rates in response to the global minimum tax—for example, Geneva from 14% to 14.7%—so please check the latest annual figures before choosing a canton.

Are Swiss companies also subject to the Pillar Two minimum tax?

Only multinational groups with combined annual revenue of at least €750 million are affected. Switzerland has implemented a domestic minimum top-up tax (QDMTT) of 15% since 1 January 2024, and will add the Income Inclusion Rule (IIR) from 1 January 2025. Ordinary small and medium-sized GmbH/AG companies are not affected.

Can foreign nationals establish a company in Switzerland?

Yes—foreign nationals may hold 100% of the shares, and Swiss nationality is not required. However, under Articles 718 and 814 of the Swiss Code of Obligations, an AG or GmbH must have a director or manager resident in Switzerland with authority to represent the company. If no one resides in Switzerland, it is generally necessary to appoint a local resident, which represents an ongoing annual cost.

What is the corporate tax rate in Switzerland?

It depends on the canton where the company is registered. Combined federal, cantonal and municipal rates, according to the KPMG 2025 report, average 14.4% nationally; Zug is lowest at 11.85%, while Zurich is 19.61% and Bern is highest at 20.54%. GmbHs and AGs are subject to the same rate.

How can I verify whether the company incorporation, tax, and compliance regulations for this jurisdiction are up to date?

Tax systems, annual fees, economic substance, and UBO (Ultimate Beneficial Owner) rules in each jurisdiction are frequently amended. Recommendations: ① Check official company registry or tax authority announcements of the jurisdiction (official source links are provided at the bottom of this page); ② Verify the data date indicated on this page; ③ Understand post-incorporation annual filing, accounting, audit, and economic substance obligations—do not focus solely on incorporation fees; ④ Stay alert to agent claims that exaggerate tax savings or suggest no filing or compliance obligations after incorporation, and consult qualified tax/legal professionals for major decisions. This site provides a neutral compilation of public information; always refer to the latest official announcements.

Where can I look up the official company registry for Switzerland (GmbH/AG), and is it public?

Official registry	Zefix (Swiss Central Business Name Index)
Can the public search the register?	✅ Free online public search
Notes	Free search for company name, state, and business gazette link; each state's registry maintains complete records.
Official search	Go to official registry search ↗

The above is a compilation of public information from official company registration authorities; public search rules and beneficial ownership disclosures are subject to change, so please refer to the latest official regulations. See the comparison table of registration transparency across jurisdictions →

Official source: Switzerland (GmbH/AG)

Official sources: Swiss Federal Tax Administration (FTA / ESTV) / KMU.admin.ch (Swiss Federal SME Portal) · Data date: 2026-10-18.This page is a neutral compilation of public data, for reference only, not tax/legal advice; options are subject to the latest official announcements.