The Swiss Federal Tax Administration has published a competent authority arrangement (CCA) with the U.S. that was signed by Switzerland on 16 April 2021 and by the U.S. on 6 May 2021.

The CCA concerns the eligibility of Swiss and U.S. pension or other retirement arrangements for the dividends withholding tax exemption provided by paragraph 3 of Article 10 (Dividends) of the 1996 Swiss-U.S. tax treaty, which was amended by the 2009 protocol to expand the exemption to also cover individual retirement savings plans. In this respect, the CCA describes the qualified pension or other arrangements and individual retirement savings plans in Switzerland and the U.S. for the purpose of the exemption.

It is also provided that the pension or other retirement arrangements and individual retirement savings plans described are not intended to be exclusive. In this respect it is provided that any Swiss or U.S. pension or other retirement arrangement, or individual retirement savings plan not mentioned in the CCA may present its case to the Swiss and U.S. competent authorities to determine whether it qualifies for the dividends withholding exemption.

The CCA is effective for dividends paid on or after 1 January 2020 and supersedes the prior arrangement entered into on 10 December 2004.