Tax Declaration for Self-Employed: Practical Guide 2025
As self-employed, your tax return requires special attention. Here's how to proceed and optimize your tax burden.
Income to Declare
Self-employment Income
- Total turnover
- Less: deductible expenses
- = Taxable net income
Other Income
- Salaries (if mixed activity)
- Investment income (interest, dividends)
- Real estate income
Deductible Expenses
Professional Expenses (complete list):
- Office rent and charges
- Equipment and furniture (depreciation)
- Vehicle (professional portion)
- Continuing education
- Professional subscriptions
- Professional insurance
- Accounting/fiduciary fees
- Telecommunications (prorated)
- Professional banking fees
Social Contributions:
- AVS/AI/APG (10.1% of net income)
- Individual pension (pillar 3a): up to CHF 7,056 (2025)
Warning: home office deductible only if dedicated room exclusively.
Tax Calculation
Direct Federal Tax (IFD)
- Progressive scale: 0% to ~11.5%
- Basis: net income after deductions
Cantonal and Municipal Tax (ICC)
- Variable by canton (e.g. VD ~35%, ZG ~22%, GE ~45%)
- Same basis as IFD
Example (self-employed Vaud, CHF 80,000 net):
- IFD: ~CHF 3,000
- ICC: ~CHF 18,000
- AVS: ~CHF 8,000
- Total: ~CHF 29,000 (36% of net income)
Provisional Installments
Tax administration calculates installments based on:
- Your last declaration
- Your estimated income
Possibility to modify installments if significant income drop → avoids prefinancing the State.
ToBill estimates your tax burden in real-time to anticipate and provision.
Filing Deadlines
Variable by canton:
- Geneva: March 31
- Vaud: February 28 (extension until September 30 if fiduciary)
- Zurich: March 31
Late penalties: CHF 100-150 + default interest.
Tax Optimization (Legal)
1. Maximize Your Deductions
- Pillar 3a at maximum (CHF 7,056 in 2025)
- LPP buybacks if LLC (deductible)
- Donations to public utility organizations
2. Investment Timing
- Buy equipment before December 31
- Pay supplier invoices before closing
3. Smooth Your Income
- Avoid an exceptional year (tax progression)
- Spread services/invoicing
4. Choose Your Canton Well
- Tax burden difference up to 20% by canton
- Simulate before moving
5. Switch to LLC if Relevant
- From ~CHF 150,000 net income, often more advantageous taxation