Switzerland: Individual Taxation, What Changes for Ticino

Context

TL;DR

• Switzerland shifts to individual taxation from 2026
• Deduction for children increased to CHF 12,000 per child
• Cross-border workers in Ticino affected immediately
• Cantonal and municipal services need to adapt procedures

Key facts

• Data approvazione: 08.03.2026
• Percentuale approvazione: 55% dei voti
• Deduzione figli: CHF 12,000 per figlio (da CHF 6,800)
• Lavoratori transfrontalieri: 70,000 circa in Ticino
• Comuni di confine: Chiasso, Mendrisio
• Punti di confine: Brogeda, Gaggiolo
• Livelli di tassazione: Confederazione, Cantoni, Comuni
• Impatto immediato: Coppie con due redditi e famiglie

On March 8, 2026, Switzerland turned a page on its tax system: the public approved the Federal Law on Individual Taxation. According to projections cited by the source, the law passed with 55% of the votes. 'The core of the reform is the shift from joint taxation to individual taxation for all, regardless of marital status,' states the text published by TVS. For the Canton of Ticino, for border municipalities like Chiasso and Mendrisio, and for the approximately 70,000 cross-border workers who transit daily through border points like Brogeda and Gaggiolo, this vote opens up concrete and practical scenarios that need to be managed immediately.

What changes: the reform introduces person-based taxation; each taxpayer will fill out their own tax return. This principle will apply to the Confederation, Cantons, and Municipalities: it is no longer an isolated federal prerogative but a uniform system across three levels. The law also provides for the individual attribution of income and wealth 'according to civil law relationships.' On the deductions front, for direct federal tax, the deduction for children increases from CHF 6,800 to CHF 12,000 per child, a figure specified in the source. Finally, the reform includes an adjustment of the rates: reductions for low and medium incomes and a slight increase for higher incomes, although no specific percentages are indicated in the source.

For cross-border workers working in Ticino and residing in Italy, the transition is immediately relevant: the individual tax return changes established habits, especially for married couples with two incomes. In the coming months, the cantonal and municipal services — the Cantonal Tax Office and the municipal tax offices of Chiasso, Mendrisio, and Lugano — will need to define operational procedures: deadlines, separate forms, coordination with social security funds and employers. Not all implementation details are present in the source: the actual effective date of entry into force and transitional rules are not specified in the cited text.

Operational details

Technical insight: how it works today and what formally changes. The new law overturns the principle of joint taxation for spouses, replacing it with individual taxation at all levels of taxation (Confederation, Cantons, Municipalities). Normative elements derived from the source include:

• Individual attribution of income and wealth according to civil law relationships;
• Each person fills out their own tax return;
• Deduction for children for direct federal tax increased from CHF 6,800 to CHF 12,000 per child;
• Adjustment of the tax rate: reduction for low and medium incomes, slight increase for higher incomes (percentages not specified).

What does it mean for the Ticino cantonal system? The source indicates that the reform also applies to Cantons and Municipalities, but does not detail the coordination mechanisms. Technical practices that the Canton will need to establish include the conversion of municipal and cantonal rates to align them with the new individual taxation, the determination of any tax allowances for families, and updates to tax return forms. Possible operational steps for Ticino tax offices (taken as an example since the source does not specify timing and methods) are:

1) Review of cantonal and municipal tax return forms; 2) Communication to companies and tax consultants on how to manage income certification; 3) Update of tax software and cantonal IT systems; 4) Informational campaigns directed at resident and cross-border taxpayers; 5) Definition of any transitional rules for ongoing declarations.

Hypothetical example to understand the effect (indicative calculation, not a fact): a married couple with two incomes in Ticino today may experience the so-called 'marriage penalty' if their incomes are similar; with individual taxation, each pays based on their own income, which in many cases reduces the overall tax burden for dual-income couples. The source text does not provide average savings figures nor specify the impact on municipal services or cantonal rates. All concrete details on cantonal and municipal rates must be published by the Cantonal Department of Finance and municipal offices. In Ticino, entities like SUPSI and USI may offer economic impact analyses; the Federal Department of Finance (mentioned in the source in Italian as DFE) and SECO will serve as references for interpretations at the federal level.

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Key points

What cross-border workers, taxpayers, and Ticino municipalities need to do immediately: a practical guide in numbered steps, checklist, and FAQs for orientation. First of all: the reform was approved on 08.03.2026; the source does not indicate the exact date of entry into force nor any transitional measures, so it is advisable to prepare now.

Practical steps for cross-border workers and employees in Ticino:

1) Keep a copy of current documentation: tax returns from the last 3 years, salary certificates, and documents related to children and benefits. 2) Contact the employer or HR department to verify how salary certificates will be issued and if withholding tax for cross-border workers will change. 3) Consult the Cantonal Tax Office (Bellinzona) or the relevant municipal office (Chiasso, Mendrisio, Lugano) to find out when the new forms will be available. 4) If you have children, check the documentation that proves eligibility for the new deductions (the federal law increases the deduction for children from CHF 6,800 to CHF 12,000 per child for direct federal tax). 5) Prepare a meeting with a tax consultant to assess potential effects on municipal taxes and shared family burdens.

Quick checklist for Ticino municipalities:

• Assess the impact on projected revenues;
• Update IT systems;
• Plan public communication towards cross-border workers and families;
• Coordinate with the Canton to standardize deadlines and forms.

Essential FAQs (answers based on information provided by the source):

Q1: Who is affected by the reform? A1: All Swiss taxpayers and residents taxed in Switzerland; the source does not provide a precise number of the population in Ticino. Q2: What happens to married couples? A2: Joint taxation ceases: each person fills out their own tax return. Q3: How much does the deduction for children increase? A3: The federal deduction rises from CHF 6,800 to CHF 12,000 per child (data present in the source). Q4: When does the law come into force? A4: The source does not specify the effective date of entry into force nor transitional rules. Q5: Do cantonal rates change? A5: The law provides for an adjustment of rates at a general level, but the source does not provide details on cantonal or municipal rates.

Final practical advice: book a check-up with your tax consultant within the next 90 days, especially if you are a married cross-border worker with two incomes or a parent. To simulate the effect on your net salary and check scenarios before the Canton publishes the forms, use our tool: Salary Calculator. Source: TVS, publication 08.03.2026; cited law: Federal Law on Individual Taxation (articulation and measures indicated in the source).

Official sources: Switzerland–Italy tax agreement (Fedlex)