How does the Swiss tax return work for Hungarian employees?
For Swiss tax returns, the tax at source, mandatory or voluntary NOV, cantonal deadlines and deductions determine what needs to be done.
Table of contents
- Who is required to pay withholding tax and file an ordinary tax return in Switzerland?
- What does withholding tax mean on a monthly payslip?
- Which rules are uniform nationwide, and which are cantonal?
- When is subsequent ordinary tax assessment, i.e. NOV, mandatory?
- Can NOV also be mandatory below CHF 120,000?
- Why are “other income” and assets important?
- When and why should voluntary NOV be requested?
- Until when could voluntary NOV be requested for the 2025 tax year?
- Which deductions may make a voluntary NOV worthwhile?
- Which documents should be prepared?
- Why is it not a good strategy to request NOV automatically?
- What are the 2026 tax return deadlines by canton?
- How can a deadline extension be requested in Zürich, Bern and Vaud?
- What happens in the event of a delay, and how are spouses taxed?
- What does joint filing mean for spouses?
- Sources
- Related Articles
Who is required to pay withholding tax and file an ordinary tax return in Switzerland?
Foreign employees without a C settlement permit — typically those working with a B permit (Ausländerausweis B) or an L permit (Ausländerausweis L) — have withholding tax (Quellensteuer) deducted directly from their salary by their employer. The deduction is made together with the salary payment. [comparis.ch]
Withholding tax does not automatically constitute a full, final determination of an individual’s tax liability. In certain cases, a person subject to withholding tax must also file an ordinary tax return (Ordentliche Steuererklärung), on the basis of which the tax authority carries out a subsequent ordinary tax assessment.
Hungarian citizenship in itself is not a separate tax category in Switzerland. In practice, the required steps may depend on the place of residence, the type of permit, withholding tax liability, annual gross income, other income and the amount of assets.
What does withholding tax mean on a monthly payslip?
Withholding tax is a tax prepayment deducted by the employer and paid to the authority. It directly reduces the employee’s net salary by the amount of Quellensteuer.
A person subject to withholding tax does not always have to file a full ordinary tax return automatically. However, mandatory NOV may apply if the federal or cantonal conditions are met.
Which rules are uniform nationwide, and which are cantonal?
Question | Nature of the rule | Example relating to the 2025 tax year |
|---|---|---|
Withholding tax for foreign employees without a C permit | General Swiss rule | The employer may deduct Quellensteuer from the salary of an employee holding a B or L permit. |
Income threshold for mandatory NOV | Uniform nationwide | At least CHF 120,000 gross income per year. |
NOV obligation due to other income and assets | Varies by canton | In Zürich and Bern, for example, CHF 3,000 in other income and net assets of CHF 80,000 / 160,000, respectively. |
Basic deadline for filing the regular tax return | Varies by canton | Bern and Vaud: 15 March; Zürich: 31 March; Zug and Ticino: 30 April. |
Rules for deadline extensions | Varies by canton | Zürich, Bern and Vaud may apply different final deadlines and procedures. |
The thresholds and deadlines shown in the table are examples relating to the 2025 tax year and filing in 2026. Before filing, always check the current rules for the relevant year with the tax authority of the canton of residence.
When is subsequent ordinary tax assessment, i.e. NOV, mandatory?
Subsequent ordinary assessment (Nachträgliche ordentliche Veranlagung, NOV) is mandatory for individuals residing in Switzerland who are subject to withholding tax if their annual gross income reaches or exceeds CHF 120,000. This threshold is uniform nationwide. [lenherr-partner.ch; sh.ch]
The German term for mandatory NOV is Obligatorische NOV. In this case, it is not an optional choice: in addition to withholding tax, a standard tax return is also required for assessment by the tax authorities.
The CHF 120,000 threshold applies to gross annual income. It is not the net salary received, nor the amount remaining after withholding tax has been deducted, that is decisive.
Can NOV also be mandatory below CHF 120,000?
Yes. Other income not subject to withholding tax or assets exceeding the cantonal threshold may also make a mandatory ordinary assessment necessary. The rules of the canton of residence apply to these thresholds. [lenherr-partner.ch]
In canton Zürich, one condition for mandatory NOV may be that other income exceeds CHF 3,000. The net wealth threshold is CHF 80,000 for single individuals and CHF 160,000 for married couples. [zh.ch]
In canton Bern, the thresholds stated in this material are the same: CHF 3,000 in other income, as well as CHF 80,000 in net wealth for single individuals and CHF 160,000 for married couples. [sh.ch]
Why are “other income” and assets important?
Withholding tax primarily applies to salary received from an employer that is subject to withholding tax. If, in addition, there is income or wealth that reaches the level set by the canton, the tax authority may require a standard tax return.
When assessing assets, it is not sufficient to consider only the balance held in a Swiss bank account. The specific scope of the filing obligation and the treatment of asset items must be clarified on the basis of the requirements of the competent canton.
When and why should voluntary NOV be requested?
A person subject to withholding tax whose gross annual income does not reach the CHF 120,000 threshold may request a voluntary subsequent ordinary assessment. This is called Freiwillige NOV. The purpose of voluntary NOV is typically to ensure that individual deductions can also be claimed in the standard tax return. [zh.ch]
Voluntary NOV does not automatically result in lower tax. It may be appropriate if the household has deductions that are not, or not fully, reflected in the withholding tax tariff.
The decision should not be made solely on the basis of a single deduction. One reason is that a voluntarily submitted NOV application remains valid for subsequent years until the end of Swiss residence or withholding tax liability and cannot be withdrawn. [be.ch]
Until when could voluntary NOV be requested for the 2025 tax year?
The deadline for applying for voluntary NOV for the 2025 tax year was 31 March 2026. This is the 2025 example of the rule that sets the deadline as 31 March of the year following the tax year. [swiss-relocation.com]
This deadline is a statutory forfeiture period (Verwirkungsfrist). It is not the same as the deadline for filing a standard tax return and cannot be extended. [so.ch]
The practical significance of the difference is considerable:
For a standard tax return, it may be possible to request a deadline extension under cantonal rules (Fristerstreckung or Fristverlängerung).
For a voluntary NOV application, missing the 31 March deadline cannot be remedied simply by submitting an extension request.
The voluntary NOV deadline for the 2025 tax year expired on 31 March 2026.
For subsequent tax years, planning should likewise be based on 31 March of the following year, but the current cantonal guidance should be checked every year.
Which deductions may make a voluntary NOV worthwhile?
A voluntary NOV may be particularly relevant where an employee subject to withholding tax has personal deductions they wish to claim through a standard tax return. Examples mentioned in this guide include pillar 3a contributions, commuting expenses and childcare costs. [zh.ch]
Pillar 3a (Säule 3a) is a form of voluntary, restricted retirement savings in Switzerland. 3a contributions made during the relevant year may be a relevant deductible item in a standard tax return.
Commuting expenses relate to costs incurred in travelling to work. Childcare costs may be particularly important for families where the supervision of a child involves actual, documented expenses.
Which documents should be prepared?
To assess whether a voluntary NOV is worthwhile, it is advisable to gather all certificates and documents that may substantiate the income, assets or deductions declared in the tax return.
In practice, these may include the annual certificate for pillar 3a, documentation supporting commuting costs, and receipts for childcare expenses. The specific documentation requirements for the tax return must be checked against the rules of the canton of residence.
Why is it not a good strategy to request NOV automatically?
Voluntary NOV cannot be withdrawn until the withholding tax obligation or Swiss residence ends. The decision therefore concerns more than tax savings in a single year; it may also affect the years ahead. [be.ch]
Anyone who had not submitted a voluntary NOV application for the 2025 tax year by 2026 no longer had this option available for that tax year, as the non-extendable 31 March deadline had passed. When deciding for subsequent tax years, personal circumstances and the current rules of the canton must be considered together.
What are the 2026 tax return deadlines by canton?
The basic 2026 deadline for the regular tax return for the 2025 tax year (Ordentliche Steuererklärung) was not uniform across Switzerland. The tax return submission deadline (Steuererklärung Abgabefrist) was set by the canton of residence. [taxea.ch]
Canton | Basic 2026 deadline for the regular tax return for the 2025 tax year | Type of rule |
|---|---|---|
Canton of Zürich | 31 March 2026 | Cantonal example |
Canton of Genève | 31 March 2026 | Cantonal example |
Canton of Basel-Stadt | 31 March 2026 | Cantonal example |
Canton of Luzern | 31 March 2026 | Cantonal example |
Canton of Bern | March 15, 2026 | Cantonal example |
Canton of Vaud | March 15, 2026 | Cantonal example |
Canton of Zug | April 30, 2026 | Cantonal example |
Canton of Ticino | April 30, 2026 | Cantonal example |
The table shows only the basic deadline for the regular tax return. It does not replace the non-extendable deadline of March 31, 2026, for applying for voluntary NOV.
The 2026 deadlines apply to the tax return for the 2025 tax year. In a later tax year, cantons may change their procedures, so the tax authority’s current website should be checked before every submission.
How can a deadline extension be requested in Zürich, Bern and Vaud?
An extension of the deadline for filing the regular tax return must be requested before the original basic deadline expires. An extension is not automatic, and the exact procedure may vary by canton. [taxolution.ch]
The German term for a deadline extension is Fristerstreckung or Fristverlängerung. This may affect the filing deadline for the regular tax return, but not the non-extendable deadline for applying for voluntary NOV.
Canton | Extension options for 2026 covered in this material | What should be noted? |
|---|---|---|
Zürich | The first extension is free of charge; it can generally be requested until 30 September, or until 30 November in justified cases. | The application must be submitted before the original deadline of 31 March. |
Bern | The deadline can be extended online and free of charge until 15 September. | The request must be made via the official platform of the Bern tax authority. |
Vaud | The first free extension can be requested until 30 June. | Given Vaud's 15 March deadline, planning needs to begin particularly early. |
In Zürich, the standard deadline for the 2026 tax return was 31 March. In Bern and Vaud, the corresponding deadline for the 2025 tax year was 15 March. If an extension request is not submitted, the original deadline remains applicable. [taxea.ch; taxolution.ch]
An extension of the deadline does not exempt you from the obligation to file a tax return. It merely provides additional time to prepare and submit the standard tax return.
What happens in the event of a delay, and how are spouses taxed?
Late submission of the standard tax return may result in a reminder, a reminder fee, late-payment interest that varies by canton, and a fine. According to the indicative figures presented in this material, the fine may range from CHF 50 to CHF 2,000; the rate and application of late-payment interest vary by canton. [findea.ch]
The source providing information on late-payment interest also mentions an approximate range of 0.5–1% per month. This is not a uniform Swiss rate and should not be regarded as an amount applicable to all cantons or every case. The specific consequences are determined by the competent cantonal authority.
In serious cases, the authority may assess the tax based on an estimate. The German term for this is Ermessenstaxation. An assessment based on an estimate may generally be unfavourable for the taxpayer, as it may not fully take individual circumstances and deductions into account. [be.ch]
What does joint filing mean for spouses?
Spouses must submit a joint tax return. If they submit a NOV application, it must be signed by both parties. [be.ch]
This is also an important administrative consideration if only one spouse is subject to withholding tax, or if circumstances making NOV relevant apply to only one of them. Due to joint filing, the household’s tax matters must be handled together.
The family situation, childcare costs, and the income and assets of both spouses may jointly affect whether voluntary NOV is warranted. Since voluntary NOV also remains in effect in subsequent years and cannot be revoked, it is particularly important for married couples to assess the matter in advance based on documentation.
Sources
comparis.ch — https://www.comparis.ch/neu-in-der-schweiz/finanzen/quellensteuer
sh.ch — https://sh.ch/CMS/get/file/a7eb63d0-41e8-4756-a1f2-9ae2c5801b64
so.ch — https://so.ch/services/nachtraegliche-ordentliche-veranlagung-beantragen/
be.ch — https://www.taxinfo.sv.fin.be.ch/taxinfo/0f9796b7-81dc-4504-95cc-8a31400e94f4
taxea.ch — https://www.taxea.ch/en/faq-taxes/tax-return-in-switzerland-who-must-file-and-by-when
taxolution.ch — https://www.taxolution.ch/swiss-tax-guide/switzerland-tax-deadlines-2026/
clarotax.ch — https://clarotax.ch/wissen/steuerfristen-schweiz/
findea.ch — https://www.findea.ch/en/faq-fiduciary/when-submit-tax-return
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In Brief
Foreign employees without a C settlement permit, typically holders of B or L permits, have tax at source deducted from their salary by their employer. A regular tax assessment is mandatory for gross annual income of at least CHF 120,000, but at lower incomes it may also be triggered by other income or assets exceeding cantonal thresholds. The deadline for voluntary NOV for the 2025 tax year was 31 March 2026 and was non-extendable.
Key Takeaways
- Check whether the type of permit, income and assets result in an obligation to pay tax at source or file a regular tax return.
- Assess the CHF 120,000 threshold based on annual gross income, not net salary.
- Even below CHF 120,000, check the thresholds in the canton of residence for other income and net assets.
- Before applying for voluntary NOV, collect documents supporting deductions for pillar 3a, commuting and childcare.
- Only opt for voluntary NOV after careful consideration, as the application may continue to apply in subsequent years and cannot be withdrawn.
- Always check the current information issued by the canton of residence regarding the regular tax return deadline and extension options.
Frequently Asked Questions
Whose Swiss salary is subject to tax at source?
For foreign employees without a C settlement permit, typically holders of B or L permits, the employer deducts Quellensteuer (tax at source) directly from their salary. Hungarian citizenship in itself does not create a separate tax category.
When is it mandatory to file a regular tax return in addition to tax at source?
A subsequent regular tax assessment, known as NOV, is mandatory if gross annual income reaches or exceeds CHF 120,000. The obligation may also apply below CHF 120,000 if other income or net assets exceed the relevant cantonal threshold.
Does the CHF 120,000 threshold refer to net or gross salary?
The threshold applies to annual gross income. It must not be assessed based on the net amount received or income after the deduction of tax at source.
Can NOV be mandatory even if income is below CHF 120,000?
Yes. In Zürich and Bern, for example, other income exceeding CHF 3,000 or net assets of CHF 80,000 for single persons or CHF 160,000 for married couples may also trigger the obligation. The precise rule is determined by the canton of residence.
When is it worth applying for voluntary NOV?
Voluntary NOV may be appropriate where there are deductions that are not, or not fully, reflected in the tax-at-source tariff. Examples include pillar 3a contributions, commuting costs or childcare costs, but voluntary NOV does not guarantee lower tax.
Until when could voluntary NOV be requested for the 2025 tax year?
The application deadline for voluntary NOV for the 2025 tax year was 31 March 2026. This was a non-extendable deadline, so it could not be remedied through a simple deadline extension.
What was the deadline for the regular tax return in 2026?
For the 2025 tax year, the standard deadline was 31 March in Zürich, Genève, Basel-Stadt and Luzern; 15 March in Bern and Vaud; and 30 April in Zug and Ticino. The deadline for the regular tax return may vary by canton, and an extension can be requested in certain cases.