The IDD implementation taking a clearer shape: latest EIOPA publications

The Insurance Distribution Directive was published in the Official Journal of the European Union in February 2016.

It will be transposed into law of the EU Member states by 23 February 2018.
The IDD applies to a wide group of insurance and reinsurance distributors and introduces a set of extended and new requirements around the oversight, governance and distribution of insurance products.
Affected firms will need to be compliant with the requirements from that date.

Read the Flyer

Please do not hesitate to contact us.

Philip Kirkpatrick
Insurance Risk and Regulatory Leader
+41 58 792 23 61

Nadejda Groubnik
Insurance Regulatory &
Compliance Services
+41 58 792 24 52

Robert Borja
Insurance Risk Assurance Leader
+41 58 792 29 56

VAT Compliance Tools

The world of VAT and customs reporting is changing rapidly.

As businesses, we’re living in a world, which is becoming increasingly globalised, with the adoption of more and more VAT and other indirect taxes. Tax authorities are requesting more detailed transactional information than ever before – and more quickly. At the same time new technologies are introducing unprecedented methods to track both indirect and direct taxes.

It has now become business critical to keep up to date with your VAT compliance responsibilities and to be ready for more thorough questioning from your tax authorities. The best way to achieve this, we believe, is to embrace the new technologies available.

Here are some quick demonstrations of our key compliance tools. Click on the pictures to launch the selective video. Presentations and additional informations can be found below the videos.

1 VAT reconciliation solutions
PwC has different solutions to help you with VAT/turnover reconciliation, from an automated excel-based solution building on standard ERP VAT reports to an SAP-integrated programme which allows automated reconciliation preparation directly in SAP. An automated solution helps you reduce the manual workflow involved in setting up a VAT/turnover reconciliation in line with Swiss VAT law, and allows you to focus more on the analysis of transactions.vat_reconciliation

Presentation: VAT reconciliation solutions – February 2017, PwC Zurich
– Flyer: Does your ERP System talk ITX?

2. Taxmarc for SAP
Taxmarc is an ‘add on’ to the SAP-system and gives an insight into all the data which is relevant for determining the VAT that is payable or receivable. The system facilitates VAT treatment for each individual transaction.

– Presentation: Taxmarc for SAP – February 2017, PwC Zurich

3. VAT compliance technology
Our STARS compliance and analytics solution enables the automation of indirect tax returns, as well as providing detailed analysis of underlying transactional data. It helps standardise processes, increase efficiency and reduce risk in VAT compliance.

Presentation: VAT compliance Automation – February 2017, PwC Zurich

4. Customised-Import
Making import data visible with a diagnostic tool: With Customised-Import we can analyse the import data of a company, looking at a variety of aspects of import handling, quantifying savings and risk potential, and making the data visible to different interest groups in an easy and intuitive way.

Presentation: Customised-Import – February 2017, PwC Zurich
Flyer: Keep track of your import data

5. Data analytics in indirect tax
The introduction of data analytics for indirect tax by authorities in most EU countries is now an impending reality. To become more efficient and create greater value for the broader business, tax functions need to take a closer look at the data they collect, the technology and processes they use, and rethink their approach to tax data management. PwC data analytics provides a complete view of the VAT risks and the opportunities that arise from using data smartly.

Presentation: Data analytics – February 2017, PwC Zurich
– Learn more about our Webcast on Wednesday, March 8, 2017

6. VAT refunds re-imagined
Businesses operating across borders often incur significant amounts of local VAT on expenses. Global reclaim Assessor (GrA) is a solution that enables the processing of invoices for VAT refund claims in a cost-effective way, helping businesses to recover the VAT paid and to optimise cash flow.

IFRS News February 2017

Our latest IFRS News provides new year’s resolutions every company should take on board, presents the five stages of grief concerning
IFRS 17, current IC rejections and the PwC leases lab.

New year’s resolutions every company should take on board

Elana Du Plessis, PwC Senior Manager, shares the new year’s resolutions all companies should consider.

Read more

Demystifying IFRS 9

Incorporating forward looking information is a big change under IFRS 9. Nitassha Somai, Financial instruments specialist, looks into her crystal ball to make some predictions!

Read more

The five stages of grief

Irina Sedelnikova, PwC Insurance specialist, explains how to work
towards accepting IFRS 17.

Read more

IC rejections

Joanna Demetriou of Accounting Consulting Services examines the
practical implications of IFRIC rejections related to IAS 28.

Read more

IFRS 15 Mole

The IFRS 15 mole is back and has a new case! Katie Woods, PwC revenue specialist, is helping him get to the bottom of accounting for free gifts!

Suspects: Accounting for free gifts
Incident description: Performance obligations (POs) are promises to a customer that arise every time they enter a contract to supply a good or service.
Once the contract has been identified, the next step is to identify the POs. The ‘incidents’ start when not all of the POs are identified resulting in the incorrect measurement of revenue or recognition in the wrong period.

Read more

Cannon Street Press

  • Post Implementation Review of IFRS 13, Fair Value
  • Insurance
  • Conceptual Framework
  • IFRS 9 – Symmetric Prepayment options

Read more

The PwC leases lab

IFRS 16 gives rise to many challenges, so Professor Lee Singh starts a new experiment – this time with his assistant Dr Holger Meurer.

Read more

In brief – A look at current
financial reporting issues

  • FASB simplifies measurement of goodwill     impairment:
    PwC In brief US2017-05
    Read more
  • NFP consolidation: FASB clarifies how to
    evaluate limited partnerships:
    PwC In brief US2017-04
    Read more
  • FASB proposes new inventory disclosures: PwC In brief US2017-03
    Read more

Are large-scale transformation initiatives doomed by default?


Against a backdrop of ubiquitous change, successful transformation is essential for survival in a highly dynamic and competitive environment. However, there is overwhelming evidence that most such initiatives end in some degree of failure. We examine the trends and forces driving these processes and the factors crucial to their success.

Read more …

The Client onboarding process – how to provide state-of-the-art support

At first glance, client onboarding seems to be a simple and fast process. But apart from high client expectations and tedious internal processes, increasing regulatory requirements – such as the Foreign Account Tax Compliance Act (FATCA) or the Markets in Financial Instruments Directive II (MiFID II) – have also turned it into a highly complex, customised process for every single prospective client. This could lead to banks spending weeks or even months running complex approval processes and having to let the client wait until an initial transaction can be made over the newly opened account. This leads us directly to the question of how customers, and even employees, can be supported during the process to enable a good customer experience on the one hand and efficiency gains within the company on the other.

Our clients in the banking industry have pointed out that implementation of a new client onboarding process is just one side of the coin (read our previous blog about client onboarding). The flip side is to come up with a support model that guides customers and employees through all upcoming questions during the onboarding process. Providing a consistent support model is also essential to improve the completeness and accuracy of account documentation.

PwC can support you in analysing your current support model, finding the gaps in comparison to best practice solutions, and in implementing an advanced support model into your existing, or new, client onboarding process.

In this blog, we will give you some insight into possible support solutions.

Please don’t hesitate to contact us.

Marc Achhammer
PwC, Director Advisory
+41 78 850 66 66

Sandro Ricklin
PwC, Assistant Manager
+41 58 792 20 01

PwC invites you to the Tax Technology Fair 2017

Over the last 20 years digital transformation has changed the world almost beyond recognition. The Internet has connected people around the globe, mobile phones have opened up a new dimension of communication, and accounting systems have driven efficiency and enabled new business models.

The world of tax is changing just as rapidly. But despite the transformation brought about by developments such as BEPS, many corporate tax divisions, in Europe at least, are still structured the same as they were ten years ago. And they still heavily rely on Excel – for analytics, calculations and reporting – even though ever shorter deadlines and increasing data volumes are pushing old-fashioned spreadsheets to their limits.

This is where modern tax technology comes in:

  • It can reduce risks associated with spreadsheets
  • It can free up resources from administrative tasks (data collection) for analytics
  • It can reduce future costs.

While most tax professionals acknowledge these benefits, many still do not completely grasp the true power and relevance of the developments behind buzzwords, such as software robotics, blockchain and machine learning.

The sixth Tax Technology Fair is designed to give you an overview of the leading solutions available to support people working in tax. It will also provide insight into the relevance to your tax division of hot topics, such as artificial intelligence and data analytics.

You will get to hear market-leading PwC professionals and IT vendor representatives with live presentations on their technologies and applications. You will also be able to compare solutions and discuss your questions and issues directly with providers in one-to-one sessions.

PwC’s Tax Technology Fair is a great opportunity to discover how the latest solutions can benefit your organisation and to share experiences with people facing the same issues as you.

Date & Time:
Wednesday, 10 May 2017
9.45 am to 4.10 pm

Find here more information about our programme. Please note that as technology is evolving so quickly, details of the break-out sessions will not be published until closer to the event.

Swissôtel Zurich, Schulstrasse 44, 8040 Zurich

Participation fee:
CHF 380 (including VAT) per participant (full day)

Register now:
Online registration

Swiss Withholding Tax: Relieved requirements for the notification procedure

On 1 February 2017, the Swiss Federal Tax Administration (“SFTA”) informed that the relieved requirements for the notification procedure will enter into force on 15 February 2017.

Companies which have paid late payment interest on delayed notification applications and meet below reflected further requirements are entitled to claim back such late payment interest within 1 year.


On 30 September 2016, both chambers of the Swiss parliament approved an amendment of the Swiss Withholding Tax Act, for which no referendum was called. As a result of the amended Swiss Withholding Tax Act, the notification procedure for withholding tax on dividend distributions shall – even in case the 30-days-filing-deadline was/is not met – be granted by the Swiss Tax Authorities, if the relevant material conditions for the notification procedure are/were fulfilled at the due date of the distribution.

Based on the transition rules, the amended law will also be applicable to cases which occurred prior to the enactment of the law changes, unless (i) the tax liability or the late payment interest is/are time-barred or (ii) was/were already finally assessed prior to 1 January 2011.

Kindly note that – despite of the amended Withholding Tax Act – we continuously recommend to strictly adhere to the 30-days-deadline for filing the relevant forms (e.g. 102/103 and 106/108) to avoid potential fines.

In case you have refrained from paying a late payment interest claim and your case was either suspended by the SFTA or an appeal is currently pending, we recommend analysing what next steps shall be taken.

Next Steps / Call to Action

If your company had missed the 30-day-deadline for the notification procedure, we recommend that you contact your PwC tax adviser who will be happy to help you analyse whether your company may be entitled to a refund or how to best deal with your pending.

Our contacts:

Stefan Schmid
Partner, Tax & Legal Services
+41 58 792 44 82

Dr. Remo Küttel
Partner, Tax Services
+41 58 792 68 69

Dr. Sarah Dahinden
Senior Manager, Tax & Legal Services
+41 58 792 44 25

PwC AFME report on operational impact of Brexit on banking

AFME has recently commissioned a report from PwC, outlining the operational impacts and transformation challenges that Brexit poses to the provision of banking services in the EU.

The report, ‘Planning for Brexit – Operational impacts on wholesale banking andbrexit capital markets in Europe’ aims to provide policymakers and other industry stakeholders, both in the EU27 and the UK, with a fact-based analysis of how these challenges are likely to affect the financial services industry. To inform the study, information was gathered by PwC from previous case studies and from 15 banks spanning a range of sizes, activities, origins and legal entity structures. They include EU27 headquartered, UK headquartered and non-EU headquartered banks in broadly even measure.

Key findings of the report include:
The Brexit transformation will be highly complex for wholesale banks and contains many interdependent activities. Firms providing a significant proportion of current industry capacity will need to execute transformation programmes which will extend beyond Article 50 timescales and in many cases up to three years after Brexit has been completed; or even longer if the post-Brexit trading relationship between the EU and UK remains unresolved for a protracted period.

In executing their transformation programmes, banks will be heavily dependent upon timely approval of licenses by their new EU regulators. This represents a critical step in the implementation of new business models and is likely to occur at a time when regulators will see a peak in requests following Article 50 activation.

Banks are currently proceeding with two year tactical plans to maintain continuity of service.  However, these plans are likely to be sub-optimal for clients and market effectiveness, and will be dependent on reaching agreement about an interim business model that is acceptable to new EU27 regulators and can be put in place before the UK leaves the EU.

Read the report.

Please let us know if you are interested in discussing this.

Günther Dobrauz
Leader Legal FS Regulatory &
Compliance Services
+41 58 792 14 97

Reminder: Be prepared for your next regulatory audit

Delegation of regulatory material tasks (art. 66 CISO-FINMA) must be reflected in your organizational documents

Rules in relation to any kind of delegation had been introduced by Art. 66 CISO-FINMA in 2015 to provide a similar requirement for CISA licensees as set out for banks in the FINMA Circular 2008/7 «Outsourcing – Banks» (which is currently under revision). The licensees covered by Art. 66 CISO-FINMA are fund management companies, investment Companies with variable capital (SICAVs), asset managers of collective investment schemes and representatives of foreign collective investment schemes (hereinafter «the licensee(s)»).

Read the whole article.

For more information please contact us:

Günther Dobrauz
Partner, Leader Legal FS Regulatory &
Compliance Services
+41 58 792 14 97

Sabine Bartenschlager-Igel
Senior Manager, Legal FS Regulatory &
Compliance Services, Head Asset Management
+41 58 792 28 73

Anne Batliner
Manager, Legal FS Regulatory &
Compliance Service
+41 58 792 29 55

Insurance CEOs embrace disruption

CaptureInsurance CEOs are more concerned than those in any other sector about the combined threats to their growth prospects from over-regulation, the speed of technological change, changing customer behaviour, and competition from new entrants. But while this indicates that insurance is an industry most affected by disruptive change, insurance CEOs are fairly confident their companies can Continue reading Insurance CEOs embrace disruption