Non-taxable Banking

There are many reasons for having a Swiss bank account. One very important reasons is that those who have an account with a Swiss bank enjoy non-taxable banking. There are a lot of benefits to having a bank account in Switzerland. In general they are very secure because Switzerland has strict privacy laws and they offer non-taxable banking. Usually most of us don’t realize how much of a burden getting taxed on our banking activities really could be.

With Swiss banking, there is a certain tax that does apply, but usually it is only to Swiss customers. Foreign bankers do not get this tax. So even though there are a lot of benefits to Swiss banking including non-taxable banking, there is a tax that can apply if you are a Swiss national. When you initially open your account, it is worthwhile to enquire about this to make sure you aren’t eligible for the tax.

Residents of the US are also subject to taxes concerning their Swiss bank account but only if they use their Swiss account to make investments within the United States. So, if non-taxable banking is what you desire, you need to be careful that you don’t use your Swiss bank account for domestic investing. If you wish to invest in foreign and European markets, then your Swiss bank account will enjoy non-taxable banking.

If you decide you want to open a Swiss bank account and you do not live in the United States or Switzerland, you may want to do some research to see what kinds of taxes you are subjected to, if any. Non-taxable banking with Swiss bank accounts does apply, you just need to understand under which situations it is relevant. Not everyone will be eligible for these tax benefits.

So if you are thinking of opening a Swiss bank account, there are plenty of benefits that apply in certain situations. If your main motivator for opening up these kinds of accounts is that you will enjoy non-taxable banking, investigate the matter to make sure that really is the case. For example, in the United States, individuals with a Swiss bank account will not be taxed by the IRS unless they use the bank account to make investments in the U.S. If you do foreign investing there is nothing to worry about.