Imposition of a higher summary fine for cantonal and municipal taxes than for direct federal tax

Facts

A. SA is a company based in the canton of Vaud. After granting it a deadline to file its 2013 tax return, and then summoning it unsuccessfully to do so, the Corporate Tax Office of the canton of Vaud imposed a fine of 300 francs for cantonal and municipal taxes (ICC) and 150 francs for direct federal tax (IFD). The Cantonal Tax Administration upheld these fines upon appeal. The Cantonal Tribunal partially upheld A. SA's appeal, finding that the imposition of the fine at double the rate for ICC compared to IFD was not justified. The Cantonal Administration then appealed to the Federal Tribunal.

Considerations

The Federal Tribunal upheld the appeal. It considered that the summary fines for violation of tax procedural obligations, provided for in Articles 55 LHID and 174 LIFD, are criminal sanctions that must be set according to the general principles of criminal law, in particular Article 47 CC.

Thus, the amount of the fine must take into account the seriousness of the offence, i.e. the importance of the taxable elements at stake. However, the ICC are generally higher than the IFD, as they include not only the tax on profits but also the tax on capital, with higher tax rates at the cantonal and municipal level. Furthermore, the fine…