The only reason I want to open a Viac account (or maybe Frankly) is that I want to maximize the money I have and to invest it the better way.
I only invested my money on VT with IB for the moment.
On paper, 3a pillar sounds like a great option because you deduct a great amount of your income taxes every year. But I guess at the end of the 3a pillar contract, you must give these taxes back, and I suppose it is not the amount that you have transfered on your 3a pillar that count but the total value on it.
So I was wondering if it was really interesting in the end?
You only pay up to ~9% tax when you take the money back. If you put the maximum amount every year, you may want to open 5 3a accounts and withdraw one of them every year so you end up paying maybe ~3% of tax.
@Mr.B If you are looking to invest your money, maybe check the new 3a solution from finpension out.
They have the lowest fees right now.
As @REandSTOCK already suggested, the best way to liquidate your portfolios and save tax money is to open multiple 3a porfolios and liquidate one by one each year. As far as I know is 50’000 per porfolio the current state of the art. But not 100% sure.
Interesting is that Schwyz does not have the lowest rates in most cases.
If I look at https://finpension.ch/de/vergleich-kapitalbezugssteuer/ even cantons that are generally high tax like Geneva, Solothurn or Schaffhausen have lower taxes than Schwyz for third pillar for bigger accounts. It‘s amazing that an industry has been created to profit from expats with those Schwyz based firms that require hundreds to pay you your money when leaving Switzerland, you can save a lot of money with just a little preparation by opening accounts early at the Kantonalbank at your target canton.
Question is, what happens if you leave Switzerland and cash out accounts in multiple cantons in the same year? Since the taxation is per canton, if you have 50000 in Schwyz, Zug, Schaffhausen, Appenzell and Geneva, you pay an average of 2,2%, while for 250000 the minimum is 4,8%. Would that work and be legal? In fact if the taxes are independent you can optimize even further, some cantons have less than 1% tax for smallish amounts of 5–10000.
My Pillar 3a withdrawal was reported to the tax authorities of my home canton and then added on top of the total income numbers for stuff like military service avoidance fees (Wehrpflichtersatz). Iiuc withdrawing at low cost comes with „relocating“ to Schwyz shortly before leaving the country.
Realistically, you are not going to be personally resident in five cantons within the same year - or any other “short” period of time.
Relocating (yourself) to Schwyz doesn’t attractive when Schwyz isn’t a particularly tax-favourable town or canton to withdraw amounts of 250k or above - as indicated by the comparison at finpension above. At 500k, Schwyz even seems to be one of the more “expensive” municipalities and/or cantons in Switzerland. This might seem a lot for pillar 3a only, but many would probably want to withdraw your pension fund as well.
If anything, you might benefit from low “taxation at source” rates if you withdraw funds from an institution in Schwyz in leaving the country.
As I understand it, you have to distinguish between:
being taxed on capital withdrawal as a Swiss resident, for which Schwyz does not seem particularly tax-favourable (for larger amounts) a residency
being taxed on capital withdrawal as a non-resident, in which Schwyz seems to apply rather low taxation at source rates for benefits institutions domiciled in Schwyz
But if you leave Switzerland and then withdraw afterwards you will be taxed as non-resident, so if I understand the regulations, what will matter for Swiss taxes will be the residence of the third pillar accounts, not your last canton. So shouldn’t you pay separately tax for each account to a different canton if you have accounts in let’s say 5 cantons? And the taxes of your destination country, but that‘s a whole different topic not related to Swiss tax, in countries like Portugal you pay nothing for foreign pensions.