The Swiss electronic VAT (e‑MWST) declaration standard, eCH‑0217, has recently been updated to Version 2.0, introducing changes to the XML specification used for submitting VAT returns to the Federal Tax Administration (ESTV).

As the mandate for electronic VAT submission already in force since January 1, 2025, organizations are by now familiar with filing their returns via the “ESTV SuisseTax” portal. With the recent change, the VAT submission portal has been renamed from “ESTV SuisseTax” to “MWST abrechnen”, marking a step toward a fully digital and standardized reporting process.

In this blog, we explore what has changed, what it means from a regulatory perspective, and most importantly, how these updates impact SAP Business ByDesign customers.

What’s New in eCH‑0217?

• One of the most significant changes is the replacement of legacy reporting methods Net Tax Rate Method (SSS) & Flat Tax Rate Method (PSS) with consolidated new unified structure “Simple Tax Rate Method”.
• The new version introduces a mandatory 5‑digit Activity ID, which represents the taxpayer’s business activity. It is provided by the Swiss Federal Tax Administration (ESTV), to determine applicable tax rates under the Simple Tax Rate Method.
• Additional provisions have been introduced related to Input Tax treatment, like handling of input tax corrections for immovable property and adjusted rules for input tax under simplified reporting.
• The new version also Introduces transitional provisions for switching to the Simple Tax Rate Method and updated validation rules for activity Ids and turnover thresholds.

What it means in SAP Bydesign?

SAP Business Bydesign currently supports mandatory effective reporting method only. And does not support Net Tax Rate Method (SSS) & Flat Tax Rate Method (PSS). Since the newly introduced Simple Tax Rate Method replaces these legacy methods, and those methods were already out of scope in ByD, the new method also remains out of scope.

For customers using the Effective Reporting Method, the following continue unchanged:

• Effective reporting is transaction-based, not activity-based, Therefore, no need to maintain or include Activity ID in ByDesign XML reporting
• Input tax treatment, VAT box structure & aggregation remains unchanged.
• No new elements introduced in the effective reporting method XML structure, ByD supports effective reporting aligned with version 2.
• Transitional provisions and new validation rules remain related to simple reporting method and do not impact effective reporting method.

Generating the eVAT File in SAP Bydesign:

1. Navigate to Tax Management work center
2. Create VAT return run
   Go to VAT Return Runs view under periodic tasks and create new VAT return
3. Maintain reporting details
   Enter Tax return arrangement
   Reporting period (From-date and To-dates) and
   Click Set to active
4. Release VAT Return
   Go to VAT Returns View under Tax Returns
   Select the VAT Return
   Click View to check the details of the return.
   Click Release to mark your return reported in the system.
5. Generate eVAT XML file
   Go to Attachements Tab of the Tax return to view the XML file generated
   Export eVAT XML file
   Upload to MWST abrechnen portal

Overall, eCH‑0217 represents a step forward in standardizing VAT reporting while ensuring a smooth experience for SAP Business ByDesign users.

Regards
Anusha