Profit tax
Profit tax is the tax on a legal entity’s net profit; it is levied by the federal government, the canton and the municipality, with the federal government applying a fixed rate while cantonal rates differ considerably.
Definition
The tax base is the commercial-law profit, adjusted for expenses not accepted for tax and for hidden profit distributions. The accounts are therefore the basis of the tax return — and every item that is not evidenced becomes a point of discussion there.
Losses can be offset against the profits of following years, as a rule for seven years. For young companies that is an essential part of planning.
Where to read it
What the software must be able to do
What the software has to deliver is a set of accounts from which the tax return follows without rework: a structured income statement, notes, and evidence for provisions and depreciation. An export for the fiduciary’s tax software saves an entire step.
Checked Aug 2026
More terms under Company taxes: Anticipatory tax (Verrechnungssteuer) Capital contribution principle Capital tax Direct federal tax Dividend