Living in Anvil and working in Graubünden as a border worker (cross-border guide)

Context

The New Frontier Agreement was signed on 23 December 2020 and will be in force from 1 January 2024. Switzerland is not an EU/EEA member and the Italy-Switzerland Double Taxation Convention was signed on 9 December 1976. This agreement provides for the reduction of double taxation for border workers.

Switzerland is one of the countries with which Italy has entered into a border agreement, which allows Italian citizens to work in Switzerland and stay in the neighbouring country without having to obtain a residence permit. This agreement is particularly important for Italian citizens who live in municipalities such as Incudine, in the province of Bellinzona, and who work in Graubünden.

The Italy-Switzerland Double Taxation Convention provides for the reduction of double taxation for border workers. This means that Italian citizens working in Switzerland will not be subject to double taxation on income from work. In particular, the agreement provides that Switzerland does not impose income tax on wages and salaries received by Italian citizens working in Switzerland.

Concrete examples of how the border agreement works can be the following:

• An Italian citizen living in Anvil and working in Graubünden as an employee in a Swiss company can receive a salary of 60,000 Swiss francs per year. Switzerland will not impose income tax on the wages and salaries of this Italian citizen, as he is covered

Operational details

Living in Anvil and working in Graubünden as a border worker

Living in Anvil and working in Graubünden as a frontier worker can be a beneficial choice for those looking to balance personal life and career. However, it is important to know the rules and taxes that apply in this scenario.

Tax at source

In Switzerland, tax at source is withheld only for frontier workers, so there is no need to pay contributions to the AVS/AI/IPG. However, it is important to note that the new Frontier Agreement, signed on 23 December 2020 and effective from 1 January 2024, introduces new rules for frontier workers.

Old and new frontier workers

Old frontier workers, that is, those who worked in Switzerland before 2024, can benefit from a transitional regime until 2033, with an exemption of €7,500. The new frontier workers, on the other hand, have a deductible of €10,000.

Double taxation agreement Italy-Switzerland

The Italy-Switzerland Double Taxation Convention was signed on December 9, 1976 and provides that taxes are paid only in one of the two countries. It is important to note that the Convention does not cover all types of income, so it is necessary to consult the legislation to know if it applies in case of specific situations.

Swiss rates and contributions

The Swiss algorithms for contributions to the AVS/AI/IPG are 5.3% for employees, while for the self-employed they are 1.1% (cap CHF 148'200). The LAINF is 0.7-1.5% and the LPP IS

Useful planning tools

To estimate your pension strategy, use the pension planner and the pillar 3 simulator.

Key points

For border workers wishing to live in Anvil and work in Graubünden, it is important to understand the connections, journey times and cost of living. Recommended areas for leisure and nightlife include the centre of Bellinzona and Lake Lugano. However, it is important to consider the advantages and disadvantages of the transfer, such as the reduction of double taxation and the exemption for new frontier workers.

Connections and travel times

The Anvil region is easily accessible from Graubünden via state road 351, which connects the country to the Swiss border. The route is about 30 minutes by car, depending on traffic. In addition, there are also public connections with buses that connect Anvil to Bellinzona and Lugano, with travel times of about 45-60 minutes.

The cost of living

The cost of living in Anvil is generally lower than in Graubünden. For example, the average house price in Anvil is around CHF 350,000, while in Lugano it can reach CHF 600,000. In addition, the price of food and services is also lower in Anvil than in Graubünden.

Reducing double taxation

Reducing double taxation is an important advantage for frontier workers wishing to work in Graubünden. According to the Convention between the Swiss Confederation and the Italian Republic for the Prevention of Double Taxation and for the Reduction of Tax Evasion, dated 5

For a precise net salary calculation, use our tax comparator: compare take-home pay between G and B permits with all 2026 deductions.