Double Taxation of Cross-Border Workers: Concerns in Southern Graubünden (cross-border guide)

Di Valerie Linc · Published on

New tax rules for cross-border workers cause concern and recruitment difficulties in specific sectors of Italian Graubünden, such as construction and healthcare.

Contesto

In brief New tax rules for cross-border workers, effective from 2023, have caused concern and recruitment difficulties in specific sectors of Italian-speaking Switzerland. Despite the new regulations, the phenomenon of cross-border work does not seem to have stopped. However, the Italian healthcare system has started billing cross-border workers to obtain funds necessary for Italian healthcare personnel. ## Key facts What: New tax rules for cross-border workers When: From 2023 Where: Italian-speaking Switzerland Who: Cross-border workers, employers, unions Amount: Not specified in the source ## Introduction The Ticino, located south of the Alps, is a Swiss canton that borders Italy and hosts a significant community of cross-border workers. These workers cross the border every day to go to work in Switzerland, significantly contributing to the country's economy. However, the new tax rules introduced in 2023 have caused some concerns among cross-border workers and their employers. ## The new tax rules for cross-border workers The new tax rules for cross-border workers require these workers to pay taxes in both their country of residence and in Switzerland, where they carry out their work. This double taxation has caused some recruitment difficulties in specific sectors of Italian-speaking Switzerland, such as the construction and crafts sectors. ## The impact of the new tax rules Despite the concerns, the phenomenon of cross-border work does not seem to have stopped. According to data from the Federal Statistical Office, in 2022 there were around 140,000 cross-border workers in Switzerland, with an increase of 2.5% compared to the previous year. However, it is important to note that the impact of the new tax rules may be more evident in the long term. ## Italian heal...

Dettagli operativi

The new tax rules for cross-border workers, effective from January 1, 2022, have a significant impact on the construction and healthcare sectors in Italian-speaking Switzerland. According to data from the Federal Office of Customs and Border Security, around 20,000 cross-border workers were employed in Switzerland in 2021, with 10,000 of them working in the canton of Graubünden alone. However, starting from 2022, cross-border workers earning more than 80,000 Swiss francs a year are subject to double taxation, meaning they have to pay taxes in both Switzerland and their country of residence. This has led to several challenges for employers, who are finding it difficult to find employees as easily as before. For example, construction company Edil Swiss, based in Bellinzona, has reported difficulties in finding specialized labor for its ongoing projects. "We've seen a 20% decrease in available cross-border workers for our projects," said the company's director, Marco Rossi. "This is causing delays in delivery times and an increase in costs for us." The healthcare sector is also particularly affected by this situation. The regional hospital in Bellinzona has reported difficulties in finding cross-border nurses and doctors to cover shifts. "We're seeing a 15% decrease in available cross-border workers for our shifts," said the hospital's director, Roberto Bernasconi. "This is putting more pressure on our existing employees and putting the quality of care we can provide at risk." However, the number of cross-border workers does not seem to be decreasing. According to data from the Federal Office of Customs and Border Security, the number of cross-border workers employed in Switzerland increased by 1.5% in the first quarter of 2022 compared to the same period the previous year...

Punti chiave

The issue of double taxation for cross-border workers is a hot topic in Ticino, the Swiss region bordering Italy. Cross-border workers, who work in one country but live in another, are subject to two different tax systems, which can cause uncertainty and concern. In Switzerland, the tax rules for cross-border workers have recently changed. As of January 1, 2020, cross-border workers who work in Switzerland for at least 90 days a year are required to pay taxes in the country where they work. Before this date, cross-border workers could choose whether to pay taxes in Switzerland or in their country of residence. This change has caused concern among cross-border workers in Ticino, who are wondering how these new tax rules will affect their financial situation. To assess the impact of the new rules, it is important to know your personal circumstances and consult a tax professional. For example, a cross-border worker earning 100,000 Swiss francs a year in Ticino could see a tax increase of around 20,000 Swiss francs due to the new rules. This is because before 2020, this worker would have only paid taxes in their country of residence, but now they must also pay taxes in Switzerland. It is also important to note that the new tax rules can have a different impact depending on the municipality where you work in Ticino. For example, cross-border workers who work in Lugano, the largest city in Ticino, may be subject to higher tax rates than those who work in smaller municipalities such as Mendrisio or Chiasso. To help cross-border workers understand the impact of the new tax rules on their situation, we have created a tax calculator. This tool allows cross-border workers to enter their personal information, such as income and the number of days worked in Switzerland, and get an i...

Punti chiave

[{"q":"What are the new tax rules for cross-border workers?","a":"The new rules provide for double taxation for new cross-border workers and the health tax for existing cross-border workers."},{"q":"How can I understand the impact of these new rules on my situation?","a":"We recommend that you consult a tax accountant or a tax expert to assess the impact of the new rules on your tax situation."},{"q":"How can I calculate my taxes in Switzerland?","a":"You can use our tax calculator to get an idea of your taxes in Switzerland."}]

Frequently Asked Questions
What are the new tax rules for cross-border workers?
The new rules provide for double taxation for new cross-border workers and the health tax for existing cross-border workers.
How can I understand the impact of these new rules on my situation?
We recommend that you consult a tax accountant or a tax expert to assess the impact of the new rules on your tax situation.
How can I calculate my taxes in Switzerland?
You can use our tax calculator to get an idea of your taxes in Switzerland.

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