Switzerland Local Currency

Local Currency

The currency of Switzerland is the Swiss franc (CHF), or Franken or franco, depending on which language region of the country you happen to be in. 1 Swiss franc is divided into 100 centimes (or Rappen or centesimi). Banknotes come in denominations of 10, 20, 50, 100, 200, and 1000 francs. Coins come in denominations of 5, 10, 20, half frank, 1, 2, and 5 franc pieces.

Because most of Switzerland's neighbours are members of the EU and share the common currency of the Euro, many business will accept Euro as payment for goods and services, with price labels and bills often showing prices in both currencies.

The Swiss franc has been fairly steady against the US dollar in the 2008-2009 period, with an average of 1.13 CHF to US$1, a high of 1.23 and a low of 1.04

Major credit cards are widely accepted, as are travellers checks. ATMs are easy to find, with many offering cash withdrawals from foreign debit cards using the Cirrus or Maestro system.

Switzerland has Value Added Taxes which are amongst the lowest in Europe. The standard rate is 7.6%, whilst a reduced rate of 2.4% applies to certain goods for personal consumption and a special rate of 3.6% applies to hotel accommodation. VAT is usually included in the purchase or advertised price.

As is the case with many countries which operate a VAT or GST system, visitors who permanently reside outside of Switzerland can claim a VAT refund if they have purchased goods to the value of at least CHF 300, per day and vendor. The purchased goods must be taken out of the country within 30 days, and must be displayed to the Swiss customs officials upon departure. This only applies if goods are purchased at stores which can supply the appropriate export stamp, and all paperwork has been completed to the satisfaction of Swiss customs.