What is the difference between the simplified settlement procedure and the ordinary (normal) settlement procedure?

KLARA uses the normal settlement procedure as standard and does not support the simplified settlement procedure.

The differences:
In the simplified procedure, no salary certificate is issued and the income does not need to be declared in the tax return either. Instead, 5% withholding tax is deducted by default (even in the case of Swiss nationals and foreigners with a C permit).
In the normal procedure the withholding tax is only deducted from foreigners without a C permit – depending on their income – and all others must declare the income in their tax return, for which a salary certificate is created.

The simplified procedure is generally more expensive for the employee because the deductions are greater. Only in a situation in which, for instance, the spouse already has a high income, is the 5% deduction better from a tax point of view.