EU Commission welcomes agreement on crucial VAT relief for COVID-19 vaccines and testing kits

The EU Commission has adopted a proposal, allowing the EU Member States to apply a zero rate VAT rate on Covid-19 vaccines and testing products. Currently, Member States can apply reduced VAT rates on sales of vaccines, but cannot apply a zero rate, while testing kits cannot benefit from reduced rates. As a consequence, different EU Member States might be adopting such a zero/reduced rate in the next coming months for these products (they are not obliged to).

Continue reading EU Commission welcomes agreement on crucial VAT relief for COVID-19 vaccines and testing kits

OFAC fined US subsidiary of Austrian ERBER Group after misinterpreting US Sanctions

Animal nutrition company BIOMIN America was fined by more than $250’000 for coordinating sales of agricultural commodities to a company in Cuba without authorization from OFAC (US Office of Foreign Assets Controls).

Continue reading OFAC fined US subsidiary of Austrian ERBER Group after misinterpreting US Sanctions

Will you change your supply chain to benefit from a VAT and duty free importation into Belgium?

As an effort to limit the impact of COVID-19, the Belgian government has introduced a temporary relief measure whereby certain goods imported into Belgium can benefit from a VAT and duty exemption. 

A key condition to benefit from said exemption entails the importation by a so-called recognized healthcare institution (almost all Belgian hospitals qualify as such an institution). 

Continue reading Will you change your supply chain to benefit from a VAT and duty free importation into Belgium?

Swiss Medtech companies – action required for the sale of products in the EU as per May 2020 – Is your business ready for the upcoming changes?

1. The background in a nutshell

  • Until 25th May 2020 all Medtech products that are admitted in Switzerland for the sale can be distributed also in the EU.
  • However, currently a new treaty is negotiated by Switzerland and the EU Joint Committee in that regard.
  • In case the treaty is not going to be concluded between Switzerland and the EU, all Medtech companies based in Switzerland are considered as not being anymore part of the EU. Indeed this treaty hangs by a hair.

Following the latest developments of the Swiss-EU negotiations concerning the Institutional Agreement and the Mutual Recognition Agreement (MRA), Swiss Medtech companies should be preparing for the case in which MRA would no longer apply to the medical devices after 26th May 2020.

Continue reading Swiss Medtech companies – action required for the sale of products in the EU as per May 2020 – Is your business ready for the upcoming changes?

Cutting Edge Digital Solution – Pharma & Life Sciences Regulatory Radar

Dear all

I hope you had a relaxing summer time.

Do you face troubles in order to be up to date with all the required legislation changes in various countries in the Regulatory Pharma & Life Sciences field AND combine it with your supply chain and tax strategy?

I am happy to inform you that we have recently launched our Pharma & Life Sciences Regulatory Radar, to strive to assist you in that regard.

Continue reading Cutting Edge Digital Solution – Pharma & Life Sciences Regulatory Radar

A Guide to VAT for Clinical Trials through Europe

Do you perform Clinical Trials in Europe and are want to be informed of the respective VAT consequences?

Together with my Pharma VAT colleagues from PwC I collected the data and organised for the set up of the PwC “VAT Guide to Clinical Trials in Europe”.

I am pleased to invite you to have a closer look at the countries of your interest:

Continue reading A Guide to VAT for Clinical Trials through Europe

Swiss Tax Bill 17 and AHV Financing (Steuervorlage und AHV-Finanzierung)

Dear readers

Hope you had a good start into 2019.

As you may already gathered through the press the referendum for the Swiss Tax Bill and AHV-Financing (Steuervorlage und AHV-Finanzierung – STAF) has been launched with success.

The respective popular vote will take place in spring, i.e. on 19 May 2019.

A lot of pharma and life sciences companies are currently dealing with the question what will STAF mean for them.

  • Introduction of patent box – mandatory at cantonal level
  • Introduction of the special deduction for R&D costs – optional for the cantons (this deduction may not exceed 50% of the relevant R&D expenditure in Switzerland)

Tax advantages for income from patents/intellectual rights are intended to promote research and development activities and corresponding value creation. The legislation text defines which patents or comparable rights qualify for patent box taxation. In accordance with the international OECD standard, the Nexus approach will apply either by patent, by product or by product family.

For further details please contact Armin Marti or me via the usual way.


Armin Marti
Partner & Leader Tax Policy ,
Zurich, PWC Switzerland

+41 58 792 43 43
armin.marti@ch.pwc.com

Webinar: Precision Medicine – Accurate Indirect Tax

I am pleased to invite you to our Webinar on Precision Medicine
and Accurate Indirect Tax

During this digital presentation our panel of experts will give you an overview of possible indirect tax implications within the pharma sector. This panel consists of many tax specialists of the pharmaceutical sector and PwC’s international indirect tax experts. Experts, who are dedicated to the pharmaceutical industry.

I will use my time slot to discuss the implications for Switzerland including which countries will be covered.

You will have the opportunity to exchange your experiences and views on the issue with other international leaders.

  • Date:             November 6th 2018        November 8th 2018
  • Time:            10am – 11 am CET          12am – 1pm CET

More information and registration here