What is the NOV (Nachträgliche Ordentliche Veranlagung) in Switzerland?
The NOV (Nachträgliche Ordentliche Veranlagung) is the ordinary Swiss tax assessment for people who are taxed at source. Instead of relying solely on the withholding tax deducted by your employer, you submit a full Swiss tax return declaring your income, assets and eligible deductions. Depending on your circumstances, this may result in either a tax refund or an additional tax payment. In some cases, such as when your income exceeds the applicable threshold, an ordinary tax assessment is mandatory.
Dear taxum, my colleague told me I can apply for something called an NOV and get money back. What is it?
It is worth knowing about. Especially if your situation is more complex than a standard salary.
The NOV - nachträgliche ordentliche Veranlagung - is an ordinary tax assessment that withholding tax payers can apply for. Instead of your employer's source deduction being the final word, you file a full tax return. All your income, all your deductions, all your assets.
For some people, this results in a refund. For others, an additional payment. It depends entirely on what the full picture looks like compared to the rate your employer applied.
Applying for the NOV in Zurich is mandatory if your gross income exceeds CHF 120,000. Below that threshold, it is voluntary - but it can still be worthwhile if you have significant deductions your employer's rate does not account for. Pillar 3a contributions. Childcare costs. A pension fund buy-in. A home office that actually qualifies.
I have sat with clients who had been on withholding tax for years and never looked at whether the ordinary assessment would have served them better.
Sometimes the source deduction is already accurate. Sometimes there is a different story in the full return.