What is the tax difference between living in Dongo (Italy) and working in Ticino with a G permit?

The G permit allows you to work in Switzerland while maintaining your Italian tax residence in Dongo. The Swiss source tax (federal and cantonal) is withheld EXCLUSIVELY from the Ticino paycheck. Italy DOES NOT apply a parallel tax on Swiss wages; instead, it recognizes the tax credit in the tax return (EC framework of 730 or Single). This means no double taxation. The new frontier workers (2024+) have an exemption of €10,000 per year on the Italian tax base, a further tax reduction. Unlike a Swiss resident (permit B), the border worker does not pay Ticino municipal taxes, only withholding tax at the federal and cantonal source.

How much do monthly social security contributions (AVS, AD, LAINF, LPP) cost for a border worker?

The withholding rates on the paycheck are: AVS 5.3% (old-age/disability insurance), AD 0.4% (unemployment insurance; the employer adds 1.1%), LAINF 0.7–1.5% (accidents at work, varies by sector), LPP 7–18% (pension fund, varies by age from 25 years onwards). The grand total of withholdings is about 15–22% of monthly gross. For a gross salary of €3,000, expect about €450-660 in withholdings per month. The employer pays additional contributions (employer) on AVS, AD, LAINF. These amounts build concrete social security rights in Switzerland: years of AVS contribution, accident coverage, credits in the LPP pension fund.

Do I have to renounce the Italian residence if I choose the G permit from Dongo?

No, the G permit allows you to live in Dongo (Italian residence) and work in Ticino without changing your personal residence. It is the B (resident) permit that requires the transfer of residence to Switzerland and the change of the centre of economic interest. With the G, you maintain Italian real estate ownership, family, local relationships, and community contacts. The vast majority of border crossers choose the G precisely for these reasons, reducing administrative complexity and preserving Italian assets.

What is the cost of mandatory health insurance (LAMal) for a border worker?

Swiss health insurance (LAMal) is mandatory and the border worker must register within 3 months of starting work. The cost varies depending on the excess chosen (CHF300-2,500 per year for an adult) and additional coverages. The average premiums for a frontier worker are between CHF 200–350 per month, depending on the canton (Ticino has medium-high premiums compared to other Swiss cantons) and the case chosen. The frontier worker has the right of option: he can freely choose which Swiss bank, without restrictions on Italian insurance. Many border workers still maintain an additional Italian policy for local coverage.

What are the actual travel times from Dongo to the main Ticino work centres?

Dongo is located about 40–50 km south of Lugano via Chiasso. The journey takes on average 45–50 minutes from the centre of Dongo to Lugano, 35–40 minutes to Mendrisio, 90+ minutes to Bellinzona. Times vary according to queues at the Chiasso crossings (the busiest) and traffic on the A9 (Como-Chiasso) and A2 (Ticino) motorways. The hourly peaks are 7–9 in the morning and 17–18 in the evening. Many border workers use car-pooling, partial teleworking or public transport (Como-Chiasso trains, then Ticino buses/trains) to alleviate congestion and commuting costs.

Living in Dongo, working in Ticino as a border worker (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 19 August 2026

Waterfront view of Dongo on Lake Como with mountains and historic lakeside architecture

Practical guide: cost of living, border taxation, G permit, AVS and LAMal contributions, Dongo-Lugano travel times, advantages and disadvantages of cross-border transfer.

Context

In a nutshell

Tax at source ONLY in Switzerland for the border worker, no parallel Italian tax on salaries of employees
New Frontier Agreement in force from 1 January 2024: €10,000 per year deductible for new frontier workers
Compulsory contributions: AVS 5.3%, AD/AC 1.1%, LAINF 0.7–1.5%, LPP 7–18% (varies by age)
Dongo is about 40–50 km from Lugano via Chiasso, reachable in 45–50 minutes by car

Key facts

What: Tax and contribution status of a border worker residing in Italy and employed by a Swiss company
When: Regulations in force from 1 January 2024 (New Frontier Agreement, Italian Law 83 of 13 June 2023)
Where: Dongo (Como province, Italy) with respect to the Ticino crossings (Chiasso, Gaggiolo)
Who: Frontier category G according to the Italy-Switzerland Convention (signed 9 December 1976)
Contributions withheld: 15–22% of monthly gross based on age, sector, AVS/AD/LAINF/LPP RATES
Italian tax exemption: €10,000 per year for new border workers registered from 1 January 2024; €7,500 for old border workers (2024–2033)

Dongo's strategic location and border commuting

Dongo is a town of 1,500 inhabitants on Lake Como, about 40–50 km south of Lugano through the Chiasso crossing, the busiest on the Swiss-Italian border. For the border crossing, this location offers direct access to the A9 motorway (Como-Chiasso) and, after the border, to the cantonal network of Ticino and

Operational details

The impact of the New Frontier Agreement 2024: exemption and transitional regime

January 1, 2024 marked the beginning of a new era for border crossers Ticino-Italy. The New Frontier Agreement, ratified by Italy with Law 83 of 13 June 2023, introduces an annual deductible of €10,000 for new border crossers registered as of this date. This amount is excluded from the Italian tax base, reducing taxation in the first year of employment in Switzerland. "Historical" border crossers (already registered before 17 July 2023) benefit from a reduced exemption of €7,500, with a transitional regime foreseen until 31 December 2033, after which the rules will be uniform for all.

For a frontier worker from Dongo who earns, for example, €36,000 gross per year (about €3,000 per month), the deductible of €10,000 reduces the Italian tax base to €26,000. This leads to a significant tax difference in the early years. It is important to emphasize that this exemption concerns EXCLUSIVELY Italian taxation: it does not change the Swiss source tax, which remains unchanged on pay slips.

Social and social security contributions in Switzerland: AVS, AD, LAINF, LPP

A border worker working in Ticino automatically pays Swiss social contributions. The deductions on the paycheck are:

AVS (Altersversicherung /Old Age and Disability Insurance): 5.3% of the gross (employee share)
AD/AC (Unemployment Insurance/ Insurance against

Useful planning tools

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

Key points

Step-by-Step Procedure: From Work Contract to Tax Declaration

Step 1: Work Contract in Ticino The first step is to have a written job offer from a Ticinese employer. This document must include the job title, salary, start date, and type of employment (determined, indeterminate, internship, etc.). The employer must notify the cantonal migration office (Division of Migration of Ticino) and the SEM (State Secretariat for Migration) within 5 days of the first day of work. Without this notification, the G permit cannot be processed regularly.

Step 2: Request G Permit via Ticino The border worker, through the employer, submits a request for the G permit to the SEM. The application must include: work contract, valid passport/identity card, good conduct certificate (issued by the Italian town of Dongo), proof of Swiss health insurance (LAMal), and a completed application form. The SEM issues the G permit for a duration of 5 years, renewable. Processing times vary, but are usually 2-4 weeks.

Step 3: LAMal Registration and Contributions Once employed, the border worker MUST register with a LAMal health insurance fund within 3 months of starting work. The choice of fund is free: the border worker can compare premiums and coverage on the UFSP (Federal Office of Public Health) website or through online comparators. The employer automatically pays AVS, AD/AC, LAINF, and LPP contributions on the payroll: the border worker receives the net salary with all deductions already made.

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Frequently Asked Questions

What is the tax difference between living in Dongo (Italy) and working in Ticino with a G permit?: The G permit allows you to work in Switzerland while maintaining your Italian tax residence in Dongo. The Swiss source tax (federal and cantonal) is withheld EXCLUSIVELY from the Ticino paycheck. Italy DOES NOT apply a parallel tax on Swiss wages; instead, it recognizes the tax credit in the tax return (EC framework of 730 or Single). This means no double taxation. The new frontier workers (2024+) have an exemption of €10,000 per year on the Italian tax base, a further tax reduction. Unlike a Sw
How much do monthly social security contributions (AVS, AD, LAINF, LPP) cost for a border worker?: The withholding rates on the paycheck are: AVS 5.3% (old-age/disability insurance), AD 0.4% (unemployment insurance; the employer adds 1.1%), LAINF 0.7–1.5% (accidents at work, varies by sector), LPP 7–18% (pension fund, varies by age from 25 years onwards). The grand total of withholdings is about 15–22% of monthly gross. For a gross salary of €3,000, expect about €450-660 in withholdings per month. The employer pays additional contributions (employer) on AVS, AD, LAINF. These amounts build con
Do I have to renounce the Italian residence if I choose the G permit from Dongo?: No, the G permit allows you to live in Dongo (Italian residence) and work in Ticino without changing your personal residence. It is the B (resident) permit that requires the transfer of residence to Switzerland and the change of the centre of economic interest. With the G, you maintain Italian real estate ownership, family, local relationships, and community contacts. The vast majority of border crossers choose the G precisely for these reasons, reducing administrative complexity and preserving
What is the cost of mandatory health insurance (LAMal) for a border worker?: Swiss health insurance (LAMal) is mandatory and the border worker must register within 3 months of starting work. The cost varies depending on the excess chosen (CHF300-2,500 per year for an adult) and additional coverages. The average premiums for a frontier worker are between CHF 200–350 per month, depending on the canton (Ticino has medium-high premiums compared to other Swiss cantons) and the case chosen. The frontier worker has the right of option: he can freely choose which Swiss bank, wit
What are the actual travel times from Dongo to the main Ticino work centres?: Dongo is located about 40–50 km south of Lugano via Chiasso. The journey takes on average 45–50 minutes from the centre of Dongo to Lugano, 35–40 minutes to Mendrisio, 90+ minutes to Bellinzona. Times vary according to queues at the Chiasso crossings (the busiest) and traffic on the A9 (Como-Chiasso) and A2 (Ticino) motorways. The hourly peaks are 7–9 in the morning and 17–18 in the evening. Many border workers use car-pooling, partial teleworking or public transport (Como-Chiasso trains, then T