According to the information provided the test may be summarized as follows :

The information included in the present tool is intended as general guidance and is not represented to be comprehensive or advisory in nature. Please contact your professional tax adviser for detailed information regarding the topic contained herein


The person receiving the income is a Swiss resident company


The ultimate beneficial owners are not qualified persons in the aggregate of a predominant interest in the form of participation or otherwise


The principal class of shares is not listed or is not regularly and primarly traded on one or more recognized stock exchanges

The ultimate beneficial owners of a predominant interest in the company are not one or more companies which meet the direct stock exchange test


95% or more of all the shares (of the aggregate vote and value) are ultimately owned by seven or fewers persons that are qualified persons of a member state of the EU or of the EEA or a party to the NAFTA

Less than 50% of the gross income is used to make deductible payments to persons which are neither qualified persons nor US citizens

The company has outstanding a class of shares that entitle its holders to a portion of the income derived from USA that is larger than a portion such holders would receive in absent of such a class of shares

50% or more of the value (or vote, if relevant) of the above-mentioned class of shares is held by not qualified persons


The person is engaged in the active conduct of a trade or business in CH

The income derived by this person from USA is derived in connection with the business activities carried on in CH

The income is derived from a related party

The trade or business of the income recipient is substantial in relation to the income producing activity


The Swiss enterprise derives income from USA which is attributable to a permanent establishment in a third jurisdiction

The total tax liability in CH and the third jurisdiction is less than 60% of the tax liability that would have been payable in CH, if the income was earned in CH by the company and were not attributable to the permanent establishment in the third jurisdiction

The income is not royalty income received as compensation for the use of, or the right to use, intangible property produced or developed by the permanent establishment itself

The income does not consist in income (other than royalty income) derived in connection with, or incidental to the active conduct of a trade or business carried on by the permanent establishment in the third jurisdiction

Under these circumstances partial treaty protection is granted

(Maximum tax at source on dividends, interest and royalties : 15%)