Facts
The appellant, a certified trustee, founded his sole proprietorship in 2006 and was part-time (80%) employed by another company. In 2011, he gave up his part-time employment and was exclusively self-employed. He had the pension fund Basler Leben AG pay out the pension capital (2nd pillar) of CHF 78,637.65. The tax office of the canton of Solothurn recorded this payout as a capital benefit from pension provision with a special tax at a reduced rate.
The appellant requested that the payout of the pension capital in the amount of CHF 78,637.65 be taxed at a reduced rate in the 2011 tax period, separate from the rest of the income. The lower court rejected the request, as the appellant had not invested the OPA funds in his self-employment, but had used them for living expenses and debt repayment.
Considerations
The Federal Court examined whether the conditions for initiating a tax reassessment procedure were met. It found that the recording of the capital payment with the special tax was justified if a payout reason according to the relevant social insurance regulations was fulfilled.
The Federal Court dealt with the question of whether a payout reason as a prerequisite for taxation according to Art. 38 DFTA existed. It found that the payout of the freedom of movement benefit as a capital benefit from pension provision must be treated as tax-privileged if a payout reason according to Art. 5 para. 1 lit. b VBA exists.
The Federal Court ruled that the tax recognition of the payout in the sense…