Tax deductions for mileage expenses in Switzerland

Introduction

Every year, thousands of Swiss motorists miss out on tax deductions they are entitled to, simply because they do not know the rules or lack the necessary supporting documents. In Switzerland, the tax system allows you to deduct a portion of costs related to travel by private vehicle, but the rules differ between the Confederation (federal level) and the cantons.

This guide explains in detail how tax deductions for mileage expenses work in Switzerland, what amounts you can deduct, what the cantonal differences are, and how Fuel Log can help you prepare your tax return with confidence.

Federal rules: the direct federal tax (IFD/dBSt)

At the federal level, the direct federal tax (known as IFD in French or dBSt in German) allows the deduction of commuting costs between home and the workplace. However, since 1 January 2016, this deduction has been capped at CHF 3\'000 per year. This cap roughly corresponds to the cost of a public transport season ticket for an average commute.

The principle is as follows: if you use your private vehicle to travel to work, you may deduct a flat rate per kilometre for the distance covered. The rate recognised by the Federal Tax Administration (FTA) is CHF 0.70 per kilometre for a car. For motorcycles and scooters, the rate is CHF 0.40 per kilometre.

IFD calculation example

Suppose you live 15 km from your workplace. The annual deduction is calculated as follows:

• Round-trip distance: 15 km x 2 = 30 km per day
• Number of working days: approximately 220 days per year
• Total deduction: 30 km x 220 days x CHF 0.70 = CHF 4\'620
• IFD cap applied: CHF 3\'000 (the amount is reduced to the cap)

Even if the calculation exceeds the cap, you may only deduct CHF 3\'000 on your federal tax return. This is why it is important to also check cantonal rules, which are often more generous.

Cantonal variations

Unlike the federal tax, most Swiss cantons do not apply such a strict cap on the deduction of transport costs. The rules vary considerably from one canton to another, both in terms of the per-kilometre flat rate and the maximum deductible amounts.

Canton of Vaud

The Canton of Vaud applies a flat rate of CHF 0.70 per kilometre and does not set a cantonal cap for private vehicle commuting costs, provided that the use of the car is justified (no adequate public transport, irregular working hours, transport of professional equipment, etc.). You must nevertheless demonstrate that public transport is not a reasonable alternative.

Canton of Geneva

Geneva is more restrictive. The canton applies a flat rate of CHF 0.70 per kilometre, but the deduction is limited to cases where the taxpayer can prove that the use of a private vehicle is essential. Geneva also caps the deduction by comparing it with the cost of an equivalent TPG/SBB season ticket. In practice, it is often necessary to provide an employer\'s certificate confirming scheduling constraints.

Canton of Zurich

In Zurich, the per-kilometre flat rate is CHF 0.70 per kilometre. The canton accepts the use of a private vehicle if the journey by public transport takes at least one hour longer than by car (one way), or if the taxpayer works irregular hours. The canton applies a cap based on comparison with public transport, but this cap is generally higher than the federal one.

Canton of Berne

The Canton of Berne applies a flat rate of CHF 0.70 per kilometre and caps the deduction at CHF 6\'700 per year for cantonal tax. This cap corresponds to the price of a 2nd class SBB general season ticket (GA). If the taxpayer can justify the use of a private vehicle, the actual deduction is granted up to this amount.

Cantonal comparison

The amounts shown are valid for the 2024/2025 tax year. Check with your cantonal tax authority for the most up-to-date figures.

Which costs are deductible?

Home-to-work commute

The daily commute between your home and your workplace constitutes the main deduction. You may deduct either the actual costs (fuel, wear and tear, proportional insurance) or the per-kilometre flat rate. In practice, the flat rate is nearly always used as it is simpler and often more advantageous. The calculation is based on the shortest route between your home and your workplace, multiplied by the number of days actually worked.

Business travel

Travel undertaken in the course of your professional activity (client visits, deliveries, meetings at another site) can be deducted in full, without any cap, provided it is documented. If your employer does not reimburse these costs, you may deduct them as professional expenses (known as "Berufskosten" in Swiss tax terminology). The same flat rate of CHF 0.70 per kilometre applies. It is essential to maintain a detailed logbook indicating the date, destination, purpose and distance covered.

Parking costs

Parking fees near the workplace may also be deducted if they are at your expense and necessary. Supporting documents (parking season tickets, receipts) must be kept. Note: parking fees in the city centre for personal errands are not deductible.

Required documentation and supporting evidence

For your deductions to be accepted by the tax authorities, you must be able to provide the following documents:

• Employer\'s certificate: confirming your workplace, your working hours and the number of days worked on site (not working from home).
• Logbook or mileage record: a detailed record of kilometres driven, with dates and reasons. This is the most important document in the event of a tax audit.
• Fuel receipts: petrol station receipts, credit card statements or annual summaries. Even if the flat rate is used, these documents strengthen the credibility of your tax return.
• Proof of vehicle necessity: for cantons that require it, a description of public transport timetables showing they are not adequate, or an employer\'s certificate mentioning specific constraints.
• Repair and maintenance invoices: if you opt for the deduction of actual costs rather than the flat rate.

In the event of an audit, the tax authority may request all of these documents for the last three tax years. It is therefore crucial to maintain an organised record.

How Fuel Log helps with your taxes

Fuel Log was designed to simplify day-to-day vehicle tracking, and that includes preparing your tax return. Here is how the application supports you:

• Automatic mileage tracking: by recording each fill-up with the odometer reading, Fuel Log automatically calculates the distance covered between each entry. You get a precise annual summary of your kilometres.
• CSV and PDF export: export all your data by vehicle and by year in CSV format (Excel-compatible) or PDF. These documents constitute solid evidence for the tax authorities.
• Fuel expense history: each recorded fill-up includes the date, location, amount and quantity. It is a genuine digital logbook.
• Maintenance cost tracking: garage invoices, tyre changes and repairs are also recorded, enabling you to calculate the actual vehicle cost if you opt for the deduction of actual expenses.
• Data available at any time: no need to search for lost receipts at the bottom of a glove box. All your data is accessible online, from any device.

By using Fuel Log throughout the year, you have all the information you need when it comes to filling in your tax return, without stress or guesswork.

Common mistakes to avoid

Many taxpayers make mistakes that can lead to their deduction being refused or, worse, a back-tax assessment. Here are the most frequent pitfalls:

1. Deducting both trips when working from home: since the pandemic, tax authorities systematically verify the number of days actually spent at the workplace. If you work 2 days per week from home, you may only deduct 3 days of commuting.
2. Forgetting the IFD cap of CHF 3\'000: even if your canton allows a higher deduction, the IFD cap applies for the federal portion. Many taxpayers carry the cantonal amount over to both returns.
3. Being unable to justify vehicle use: in cantons that require it, the absence of justification can lead to the complete refusal of the mileage deduction, reduced to a simple public transport season ticket.
4. Using an incorrect distance: the tax authorities generally use Google Maps or map.geo.admin.ch to verify the declared distance. Round to the nearest kilometre using the shortest route.
5. Not keeping supporting documents: the absence of a logbook or fuel receipts considerably weakens your position in the event of an audit. Use a tracking tool like Fuel Log to avoid this problem.
6. Deducting private trips: only commuting and business travel are deductible. Personal trips (shopping, leisure, holidays) cannot be deducted under any circumstances.