3rd Pillar A: buyback deductible from January 1, 2025

From January 1, 2025, an individual with a gainful employment in Switzerland will be able to buyback unpaid contributions to their 3rd pillar A for up to ten years, subject to certain conditions.

The tax-deductible buyback (in addition to the ordinary 3rd pillar A contribution) will be CHF 7,258 (for the year 2025).

To be able to deduct the buyback of unpaid contributions for tax purposes, you must meet the following conditions:

– they must have a contribution gap in their 3rd pillar A (i.e. they must not have paid the maximum authorized contribution each year)

– be gainfully employed in Switzerland

– have received income subject to AHV in both the year in which the buyback is made and the year for which the buyback is requested

– you must have paid the full maximum ordinary 3rd pillar A contribution

Our Tax team is at your entire disposal to assist you on this matter.