What is the New Cross-Border Workers Agreement, and how will my tax burden change if I live in Cislago?

The New Cross-Border Workers Agreement, signed on December 23, 2020, and effective as of January 1, 2024, introduces significant tax exemptions. If you are a new cross-border worker (hired after July 17, 2023), you are eligible for an annual tax exemption of €10,000 on your Italian taxable income. If you were already a cross-border worker before that date, a transitional regime applies, with an exemption of €7,500 until 2033. The tax exemption directly reduces the income used to calculate your Italian IRPEF, resulting in frequent annual tax refunds. It is one of the main advantages of the new legislation for those who reside in Italy and work in Switzerland.

Where do I have to pay taxes—in Italy or in Switzerland? Is there a risk of double taxation?

Income tax is withheld exclusively in Switzerland (cantonal withholding tax). You do not pay any additional Swiss taxes on your paycheck. In Italy, you report your foreign income in Section CE of Form 730 (for individuals), indicating the taxes already paid in Switzerland as a tax credit. This foreign tax credit is deducted from your Italian IRPEF, preventing double taxation. In fact, in most cases, the Swiss tax credit covers the entire remaining Italian IRPEF, resulting in a tax refund in your favor.

How does the annual rebate work, and when will I receive it?

The tax refund is the positive difference between the tax paid in Switzerland and the tax due in Italy. Since the Swiss tax rate is generally lower than the Italian IRPEF rate, after applying the tax exemption (€10,000 for new cross-border workers, €7,500 for existing cross-border workers) and the foreign tax credit, you’ll have a tax credit in your favor. You can claim this credit by filing your tax return (Form 730 or Redditi P.F.) by April 30 of the following year. The refund is credited to an Italian IBAN within 4–6 months. Typical amounts range from €1,000 to €4,000+ per year, depending on your gross Swiss income.

What are my social security obligations if I work in Ticino as a resident of Cislago?

You are subject to mandatory Swiss contributions: AVS (Old-Age Insurance) 5.3% of gross income, LPP (Second Pillar, pension fund) 7–18% depending on age, and LAINF (accident insurance) approximately 0.7–1.5%. As a Category G cross-border worker, you have the option to enroll in LAMal (health insurance): you can obtain coverage from a Swiss insurer (recommended for full coverage in Switzerland) or remain enrolled in the Italian INPS system. You must notify the authorities of your choice regarding LAMal within 90 days of your first day of work. You cannot opt for INPS instead of AVS/LPP: these are mandatory in Switzerland.

What kind of permit do I need to live in Cislago and work legally in Ticino?

You need a **G Permit** (cross-border worker permit). You can apply for it at the Como Police Headquarters with your signed Swiss employment contract, identification document, and certificate of residence from the Municipality of Cislago. The G permit is valid for multiple years and authorizes your permanent residence in Italy while you work in Switzerland, allowing you to cross the border regularly at the border crossings (Chiasso, Brogeda, Gaggiolo). Processing time is usually 30–60 days. You must renew it 30 days before the expiration date indicated on the document. Without a valid G Permit, you risk administrative penalties and losing your right to work across the border.

Living in Cislago, Working in Ticino: A Guide for Cross-Border Workers (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 2 September 2026

Aerial view of Mendrisio and border with Como province, where Cislago is located

Cross-border workers from Cislago to Ticino: taxation, the New Agreement, withholding tax, work permits, and social security for those who choose to live in Italy and work in Switzerland.

Context

At a Glance

New Cross-Border Workers Agreement effective January 1, 2024: tax-free allowance of €10,000 (new workers), exemption of €7,500 (existing cross-border workers)
Withholding tax deducted exclusively in Switzerland; Italian tax credit via Form 730 (EC section)
G permit for residence in Italy and work in Ticino; mandatory AVS/LPP/LAMal contributions
Frequent annual tax refunds thanks to Swiss tax rates lower than Italian IRPEF

Key Facts

What: Living in Cislago (Como) while working as an employee in Ticino
When: Regime effective as of January 1, 2024
Where: Cislago (Lombardy) → Chiasso, Brogeda, and Gaggiolo border crossings → Ticino
Who: Cross-border workers with a G permit, Swiss employees
Tax-free allowance: €10,000 per year (new); €7,500 (old, transitional period 2024–2033)
Tax: Withheld only in Switzerland; variable cantonal tax rates

The New Cross-Border Workers Agreement: Changes Starting in 2024

The decision to live in Cislago, a municipality in the province of Como in Lombardy, and work in Ticino is an increasingly informed choice for cross-border workers. Those who choose this path benefit from the New Cross-Border Workers Agreement, signed on December 23, 2020, and effective as of January 1, 2024. This agreement introduced a system of tax allowances that significantly alters the tax burden for those residing in Italy.

For a new cross-border worker (hired after July 17, 2023), the annual tax exemption is €10,000. For those who were already cross-border workers before that date, a transitional regime applies with a €7,500 exemption until 2033. This exemption directly reduces your taxable income in Italy: the income you report to the Italian Revenue Agency is already net of this amount.

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Operational details

Tax Basics: How Your Paycheck and Annual Take-Home Pay Change

Your Swiss paycheck includes two key components that determine your take-home pay: cantonal withholding tax and social security contributions. The withholding tax in the Canton of Ticino is not provisional: it is the final tax that your employer withholds directly from your salary. You will owe nothing further to the Swiss tax authorities on your earned income.

The withholding tax rate varies depending on your income, marital status, and personal circumstances. In the Canton of Ticino, for a medium-to-high income, the effective rate is around 19–22% of gross income. At the same time, you pay social security contributions (AVS 5.3%, LPP 7–18%, LAINF approx. 1%). Your take-home pay is your gross pay minus withholding tax and contributions.

In Italy, when you report your foreign income, you apply the €10,000 tax-free allowance (or €7,500 if you are a long-term cross-border worker). This means that your Italian taxable income is your Swiss gross income minus the tax-free allowance. On this basis, you calculate IRPEF: 23% up to €28,000, 35% from €28,001 to €50,000, 43% above €50,000. But immediately afterward, you deduct the foreign tax credit (the taxes paid in Switzerland). In the vast majority of cases, the Swiss tax credit exceeds the calculated Italian IRPEF, resulting in a ristorno (refund).

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Key points

Step-by-Step Guide: Your First Year as a Cislago–Ticino Cross-Border Worker

If you’ve just signed an employment contract in Ticino and live in Cislago, follow this roadmap.

Weeks 1–2: Signing the Contract and Initial Notifications 1. Sign the contract with your Swiss employer. Obtain essential information: your AVS membership number from the relevant Ticino fund, the name and contact information of the LPP fund, and instructions for choosing your LAMal coverage (Swiss or Italian). 2. Gather your documents: Italian tax ID number, valid ID, certificate of residence (to be requested from the Municipality of Cislago). 3. Plan your initial budget: Your first paycheck usually arrives 15–30 days after you start; calculate your cash needs until that date.

Weeks 2–3: Applying for a G Permit 1. Go to the Como Police Headquarters with your signed employment contract, ID, and certificate of residence. Submit your application for a G permit (cross-border worker permit). 2. Notify the Municipality of Cislago of the start of your new job (this is an administrative requirement sometimes needed to update your personal records). 3. Allow 30–60 days for processing. Once issued, the G permit is valid for multiple years (duration varies). Keep it in a safe place; without it, you cannot legally cross the border.

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Frequently Asked Questions

What is the New Cross-Border Workers Agreement, and how will my tax burden change if I live in Cislago?: The New Cross-Border Workers Agreement, signed on December 23, 2020, and effective as of January 1, 2024, introduces significant tax exemptions. If you are a new cross-border worker (hired after July 17, 2023), you are eligible for an annual tax exemption of €10,000 on your Italian taxable income. If you were already a cross-border worker before that date, a transitional regime applies, with an exemption of €7,500 until 2033. The tax exemption directly reduces the income used to calculate your I
Where do I have to pay taxes—in Italy or in Switzerland? Is there a risk of double taxation?: Income tax is withheld exclusively in Switzerland (cantonal withholding tax). You do not pay any additional Swiss taxes on your paycheck. In Italy, you report your foreign income in Section CE of Form 730 (for individuals), indicating the taxes already paid in Switzerland as a tax credit. This foreign tax credit is deducted from your Italian IRPEF, preventing double taxation. In fact, in most cases, the Swiss tax credit covers the entire remaining Italian IRPEF, resulting in a tax refund in your
How does the annual rebate work, and when will I receive it?: The tax refund is the positive difference between the tax paid in Switzerland and the tax due in Italy. Since the Swiss tax rate is generally lower than the Italian IRPEF rate, after applying the tax exemption (€10,000 for new cross-border workers, €7,500 for existing cross-border workers) and the foreign tax credit, you’ll have a tax credit in your favor. You can claim this credit by filing your tax return (Form 730 or Redditi P.F.) by April 30 of the following year. The refund is credited to a
What are my social security obligations if I work in Ticino as a resident of Cislago?: You are subject to mandatory Swiss contributions: AVS (Old-Age Insurance) 5.3% of gross income, LPP (Second Pillar, pension fund) 7–18% depending on age, and LAINF (accident insurance) approximately 0.7–1.5%. As a Category G cross-border worker, you have the option to enroll in LAMal (health insurance): you can obtain coverage from a Swiss insurer (recommended for full coverage in Switzerland) or remain enrolled in the Italian INPS system. You must notify the authorities of your choice regarding
What kind of permit do I need to live in Cislago and work legally in Ticino?: You need a **G Permit** (cross-border worker permit). You can apply for it at the Como Police Headquarters with your signed Swiss employment contract, identification document, and certificate of residence from the Municipality of Cislago. The G permit is valid for multiple years and authorizes your permanent residence in Italy while you work in Switzerland, allowing you to cross the border regularly at the border crossings (Chiasso, Brogeda, Gaggiolo). Processing time is usually 30–60 days. You