Living in Lazzate, working in Ticino: the guide

Context

In brief

• Lazzate: Lombardy municipality close to Chiasso, Brogeda, Gaggiolo border crossings
• Permit G required; withholding tax deducted in Switzerland
• New Cross-Border Workers Agreement (effective January 1, 2024): different regimes for old and new cross-border workers
• LAMal mandatory; cross-border workers have the right to choose

Key facts

• What: Residential move to Lazzate + employment in Ticino
• Where: Lazzate (Varese, Lombardy) — access via Chiasso, Brogeda, Gaggiolo
• Who: Cross-border workers category Permit G (employees)
• The G permit is valid for five years with a contract of more than one year; with a shorter contract it lasts as long as the contract.
• Tax treatment: Withholding tax in Switzerland; double taxation avoided with tax credit in Italy (form CE 730)
• Convention: Italy-Switzerland of March 9, 1976
• For Article 9 of the Agreement, “old frontier workers” are people who met the tax requirements and worked in Graubünden, Ticino or Valais on 17 July 2023 or during the period from 31 December 2018 through 17 July 2023. Article 9 keeps covered employment income taxable exclusively at source in Switzerland; other workers follow the ordinary regime, with ordinary taxation in Italy, a credit for Swiss tax and Swiss withholding at 80% of the ordinary rates. The €10,000 figure in Article 4 of Italian Law No. 83/2023 is only the income limit referred to in Article 1(175) of Law No. 147/2013; it is not a general allowance for new frontier workers. Sources: ESTV factsheet (Italian) · Agreement, Art. 9 · Law No. 83/2023, Art. 4.

Lazzate, a municipality in the province of Varese, Lombardy, is increasingly attracting cross-border workers drawn by the lower cost of living while maintaining the advantages of a Ticino job. Its proximity to border crossings (Chiasso, Brogeda, Gaggiolo) and reasonable travel times to major Ticino centers (Lugano, Mendrisio, Bellinzona, Locarno) make it a strategic choice. However, to move and work in Switzerland as a cross-border worker, specific permits (Permit G), proper tax declaration, and a clear understanding of the Italo-Swiss tax regimes are necessary.

The New Cross-Border Workers Agreement, effective January 1, 2024, has significantly changed the taxation and refund methods for those living in Italy and working in Switzerland. This guide accompanies the cross-border worker candidate through the requirements, economic implications, and essential administrative procedures.

Lazzate and the Ticino border

Lazzate is located in the province of Varese, Lombardy, a short distance from the main access points to Ticino. This geographical proximity makes it attractive for those who want to reduce housing costs without moving too far from their workplace. Travel times to major Ticino centers remain reasonable: from Lazzate to Lugano about 1 hour, to Mendrisio about 30–40 minutes, to Bellinzona about 1 hour and 30 minutes, to Locarno about 2 hours.

Daily commuting, however, involves significant additional costs that each cross-border worker candidate should carefully evaluate: fuel (about CHF 150–300 per month), Swiss vignette (CHF 40 per year), A2 and A9 motorway tolls (CHF 80–120 per month), car wear (increase 25–30%), parking in Ticino urban centers (CHF 100–200 per month), and car insurance (higher premiums in Italy compared to Switzerland).

Permit G: the requirements

To work in Switzerland as a cross-border worker, the first step is to obtain Permit G from the SEM (State Secretariat for Migration). This permit is reserved for cross-border dependent workers who reside permanently in Italy and cross the border daily or regularly.

The procedure requires a letter of employment from the Ticino employer, a signed employment contract, the Italian identity document, and a municipal residence certificate in Lazzate. Processing times vary from 2 to 4 weeks; renewal occurs in January of each year.

Once Permit G is obtained, the cross-border worker is automatically enrolled in the Swiss social security system: old-age and survivors' insurance (AVS), disability insurance (AI), loss of earnings compensation (IPG), accident insurance (LAINF), and pension fund (LPP according to age group). These contributions are deducted directly from the Swiss paycheck according to federal (AVS/AI/IPG 5.3% for the employee, AD/AC 1.1%, LAINF 0.7–1.5%) and Ticino cantonal rates.

Operational details

Cost of living and housing

Lazzate offers significantly lower purchase and rental prices than the most popular Ticino areas (Lugano, Ascona, Locarno). Prices vary depending on the area of the municipality, proximity to the border and local infrastructure. However, the housing differential must be strictly compared with the additional costs of daily commuting.

Approximate estimate of additional monthly costs: fuel CHF 150–300 (dependent on frequency and distance), car maintenance increase 25–30% (about CHF 50 per month), motorway tolls CHF 80–120, parking in Ticino CHF 100–200 in urban centres, car insurance CHF 100–150 per month (highest premiums in Italy). The Swiss vignette costs CHF 40 per year.

Not all economic scenarios are beneficial for relocation. It depends on personal factors: gross salary, number of actual working days in Ticino (partial teleworking changes the calculation), family composition (spouse, children, dependent parents), and specific housing costs in Lazzate compared to the target Ticino area. A monoredit family with children might find overall convenience; a young couple without children might find that housing savings are nullified by transportation costs and wasted time.

For a realistic and personalized estimate, use our calcolatore costo della vita Ticino vs Italia.

Advantages of moving to Lazzate

• Real estate prices

Useful planning tools

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

Key points

Taxation for cross-border workers: the New 2024 Agreement

The cross-border worker living in Lazzate and working in Ticino is subject to withholding tax in Switzerland (deducted by the employer directly from the paycheck). There is no double taxation because Italy avoids double taxation by applying a tax credit in the CE section of the 730 declaration (income model). The Italian-Swiss Convention, signed on March 9, 1976, regulates this aspect: the income from employment is taxed exclusively in the State where it is carried out (Switzerland).

The New Cross-Border Workers Agreement, which came into force on January 1, 2024 (ratified by Italy with Law 83 of June 13, 2023), has introduced different regimes for taxation and refunds:

• Old cross-border workers remain taxed only in Switzerland (Art. 9 of the 2020 Agreement).
• The €10,000 limit is not a general allowance: Article 4 of Italian Law No. 83/2023 applies it only to the income referred to in Article 1(175) of Law No. 147/2013.

This distinction has significant impacts on refunds and annual liquidity. The lower the income, the more the allowance/exemption positively affects the tax result.

Procedure and critical deadlines

1. Request Permit G Contact the SEM (State Secretariat for Migration) in the canton of Ticino (offices in Chiasso, Lugano, Bellinzona). Provide a letter of employment, employment contract, Italian identity document, certificate of residence in Lazzate. Processing time 2–4 weeks. Validity 1 year, renewable in January of each year.

2. INPS registration and change of address Communicate the new Italian address to the employer. Register with the INPS (National Institute for Social Security) cross-border management. Deadline: within 30 days of the change of residence.

3. Italian tax declaration (model 730) Complete the 730 model indicating the foreign employment income. Attach the Swiss tax certificate (Verrechnungssteuerbeleg) issued by the employer. Complete the CE section (foreign tax credit). Deadline: by May of the following year (or by November for 730-4).

4. Refund declaration If the Swiss employer has withheld more taxes than due, you can request a refund. Process with the Refund Declaration at the Italian Revenue Agency. Deadline: within the ordinary declaration terms.

The LAMal (Swiss health insurance) is mandatory. As a cross-border worker with Permit G, you have the right to choose: you can insure with a Swiss fund (adults' deductible CHF 300–2500 according to the plan) or maintain an Italian insurance, provided you notify the SEM.

Learn more about the procedures with our Permit G cross-border workers guide and use our cross-border salary calculator to simulate your net monthly salary considering Swiss taxation, Italian refunds, and the allowance of the New 2024 Agreement.