Facts
The Association [X.] , a society founded in 1996 and based in [A.] /TransA, aims to expand protection for employees and their families against the consequences of unmerited hardship. The tax administration of the Canton of Thurgau levied subsequent taxes on the association for the periods 2000 to 2003 of the state and direct federal tax. The Association [X.] has filed complaints in public law matters with the Federal Court and requests that the administrative court judgments be set aside and the case be referred back to the tax authority or the administrative court for further processing of the subsequent tax proceedings 2000 to 2003.
The tax administration and the administrative court of the Canton of Thurgau conclude that the complaints should be dismissed. The Federal Tax Administration has not commented within the deadline set for it.
Considerations
The Federal Court has examined the admissibility of subsequent taxation and the application of the higher tax rate. It has found that the tax authority rightly initiated the subsequent tax procedure, as new facts and under-taxation within the meaning of Art. 151 DFTA existed.
The court has also examined whether the contributions paid by active and passive members can be classified as tax-free amounts. It has found that these contributions do not meet the statutory requirements and therefore cannot be left tax-free, as they are based on services provided by the association.
The court has finally examined the application of the higher tax rate of 8.5% instead of the privileged association rate of 4.25%. It has found that the application of the higher tax rate is not justified, as the association…