Taxpayers of the city of Fribourg have to pay taxes on income and wealth, if they are natural persons of legal age, and on profit and capital, if they are legal entities. Failure to pay these taxes or not to do so within the time limit may result in fines. Find out how to make your tax return in Fribourg.
Taxation of natural and legal persons
In Fribourg, every adult, i.e. over 18 years of age, is required to pay taxes as an individual. These taxes in Fribourg contribute to the financing of state tasks. For an individual, the tax concerns income and wealth. The individual must declare all this income, regardless of its source. The income that he obtains from his activity as an employee or from his work as a self-employed person is thus taken into account in the calculation of taxes in Fribourg. The pensions he receives are also taken into account. Taxpayers in Fribourg are also required to pay wealth tax. This tax is levied on part of their assets, life insurance policies and real estate. Legal entities, i.e. companies, corporations and establishments with legal personality are also taxable in Fribourg. This is no longer income and wealth tax, but rather capital and profit tax. As an indication, the overall tax rate for legal entities in Fribourg is around 81.6%. Does all this seem rather complicated to you? There are specialists who help individuals to declare their tax in Fribourg.
How do you calculate your tax?
If you have just settled in Fribourg, you should contact the city’s tax office to establish an instalment for the current year. If you change your marital status, i.e. if you get married or divorced, if you have also received a major professional transfer, you must also contact the tax authorities again to establish a new instalment.
This instalment is in fact a partial payment made for income tax purposes during the year. The tax authorities determine the amount of this down payment, but it usually represents one-third of the income tax you paid the previous year. Thanks to this advance payment, you pay a large part of your income tax right away, even before you know the exact amount you have to pay for your taxes in Fribourg.
The tax calculation in Fribourg is based on your total net income or your taxable income. The amount is obtained after taking out all deductions allowed by law and social deductions. It is thus possible to deduct from the tax the costs of acquiring income such as professional expenses, expenses for meals taken away from home, for example. Donations to various public interest organisations as well as contributions for life insurance, third-party childcare costs and health insurance are also deducted from taxable income. The social deductions applicable to income tax concern the personal deductions to which you are entitled and for your dependants.
Documents required for the tax return
In order to declare your taxes in Fribourg more easily, it is necessary to gather certain supporting documents such as your salary certificate or bank and postal statements. You must also have statements of securities as well as certificates of 3rd pillar contributions for social security, and the special 2nd pillar contribution certificate for the ordinary contributions entered in the salary certificate and the BVG pension fund.
To benefit from the various tax deductions provided for by law, you must also provide proof. You must therefore be able to submit a medical expenses statement and a statement of professional expenses. You must also submit proof of continuing education expenses and proof of any donations you have made. If you are a homeowner, you must also be able to submit all documents relating to property taxes, debts, bills for maintenance and repair costs, as well as certificates for operating and administrative costs.
How do I declare my tax?
The easiest way to declare your tax in Fribourg is to do it online. There is a software, the FriTax, which allows you to file your tax return electronically. The process is simplified since you won’t have any paperwork to process and even less mail to send. With the online form, it is also possible to eliminate superfluous questions right away and to limit the supporting documents to be provided. There is no need to worry about the security of your data, as this procedure is just as secure as e-banking. If you have any doubts about how to fill in your online tax return form correctly, it is best to contact a professional who specialises in tax returns.
The advantage of using an advisor is that he or she can help you benefit from lower taxation. He or she can work with you to review all the possible deductions you may be entitled to. He or she can also help you prepare your file so that your return is filed on time. This will help you avoid paying fines and being taxed automatically. Being taxed automatically is not at all advantageous since the tax authorities may charge you a much higher tax than you would normally have to pay.
Is it possible to negotiate the deadline for filing a tax return?
Every year, you have a time limit to complete your tax returns, otherwise you risk paying fines. If you have not collected all the documents required for the tax return on time, you can always ask the Tax Office for an extension. You can use the ISR in the tax return to negotiate this deadline. If the tax authorities consider the reasons you give to be serious, you will be granted an extension. The processing of this request is not free of charge, but you may be able to get up to four extensions to pay your tax without fines.
The process of applying for an extension to pay your tax will be easier if you go to a professional. In general, the procedures to follow for this process are simpler for tax representatives who want extra time for their clients.