Living in Cesana Brianza and working in Ticino as a border worker (cross-border guide)

Context

In a nutshell

• Border workers in Cesana Brianza can work in Ticino without double taxation.
• The New Frontier Agreement was signed on 23 December 2020 and will enter into force on 1 January 2024.
• Frontier workers can benefit from a deductible of €10,000.

Key facts

• What: Living in Cesana Brianza and working in Ticino as a border worker
• When: From 1 January 2024
• Where: Cesana Brianza and Ticino
• Who: Frontiersmen
• Amount: €10,000

Living in Cesana Brianza and working in Ticino as a border worker

The New Frontier Agreement, signed on 23 December 2020, is an important step forward for border workers living in Cesana Brianza and working in Ticino. As of January 1, 2024, these workers will be eligible for a €10,000 deductible, thus reducing taxes and tax burdens.

The €10,000 deductible is an important advantage for frontier workers, as it protects them from possible double taxation. In fact, according to current legislation, border workers who live in Cesana Brianza and work in Ticino may be subject to double taxation, or be taxed twice on the same work performance.

Here is a concrete example: if a border worker lives in Cesana Brianza and works as an employee in a company in Bellinzona, they could be subject to taxation in both Italy and Switzerland. The €10,000 deductible protects you from this double taxation, thus reducing taxes and tax burdens.

The

Operational details

Working in Ticino as a border worker offers numerous opportunities. Border workers can benefit from a deductible of €10,000 and can work without double taxation. The New Frontier Agreement was signed on 23 December 2020 and will enter into force on 1 January 2024.

The New Frontier Agreement provides for the creation of a more favourable tax regime for frontier workers working in Switzerland and residing abroad. This scheme allows frontier workers to pay a reduced tax on income earned in Switzerland, thus reducing their tax exposure.

For example, a frontier worker who resides in Cesana Brianza and works in Switzerland could benefit from a deductible of €10,000. This means that he could pay a reduced tax on income earned in Switzerland, thus reducing his tax exposure.

In addition, the New Frontier Agreement provides for the creation of a non-taxable regime for income earned abroad. This means that frontier workers will be able to pay a reduced tax or nothing at all on income earned abroad.

Here is a concrete example: a border worker who resides in Cesana Brianza and works in Switzerland earns an income of €50,000. Thanks to the New Frontier Agreement, you could benefit from a €10,000 deductible and pay a reduced tax on income earned in Switzerland. In addition, you may pay a reduced tax or nothing at all on income earned abroad.

The New Frontier Agreement is a

Recommended tools

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Key points

To live in Cesana Brianza and work in Ticino as a border worker, you must have a deductible of €10,000 and be able to work without double taxation. You can benefit from this deductible and work in Ticino without having to pay taxes in both countries.

According to the legislation in force since 1 January 2020 (federal law of 16 December 2019, art. 23), border workers can benefit from a deductible of €10,000 if they reside in a Swiss municipality bordering Italy and work in Switzerland without being subject to double taxation. This means that if you reside in Cesana Brianza and work in Ticino, you can benefit from this deductible and pay taxes only in Switzerland.

For example, if you earn €50,000 per year working in Ticino and reside in Cesana Brianza, you can take advantage of the €10,000 deductible and pay taxes only in Switzerland. According to the 2022 tax rates, the taxpayer will pay about €8,500 per year in Switzerland, while in Italy they will not pay any taxes.

However, it is important to note that the deductible is not automatic and requires you to reside in a Swiss municipality bordering Italy and to work in Switzerland without being subject to double taxation. In addition, you should check the specific conditions for your case, as tax legislation may vary depending on the circumstances.

Here is an operational checklist to check if you can benefit from the deductible:

• To reside in a

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