Mariano Comense: tax guide for border workers in Ticino (cross-border guide)

Context

In Brief

• G Permit: border permit for Italy residents + Swiss work, automatic renewal as long as the employment relationship continues
• New Agreement 2024: CHF 10,000 exemption for new border workers (from 1 January 2024), exemption from Swiss taxation
• Withholding tax: paid ONLY in Switzerland, no double taxation; credit for tax recognized by Italy through the CE box of the 730 tax return
• AVS/LPP/LAMal: mandatory in Switzerland, no double registration with the Italian INPS

Key Facts

• What: G Permit (border worker) for Italian citizens residing in Italy and employed in Switzerland
• When: Request to the State Secretariat for Migration (SEM); in force from 1 January 2024 with the New Agreement
• Where: Border workers from Mariano Comense to the Canton of Ticino (Chiasso, Mendrisio, Lugano, Locarno)
• Who: Italian citizens residing within the border area (normatively up to 20 km from the border)
• Amount: CHF 10,000/year tax exemption (new border workers after 17 July 2023); CHF 7,500 for old border workers in the transitional regime 2024-2033

Operational details

Taxation: how the border tax at source works

Switzerland and Italy have a Double Taxation Convention signed on 9 December 1976. According to this, the border worker pays the tax at source ONLY in Switzerland (the Canton of Ticino and the Federal Tax Administration), not in Italy. This was already the historical regime, but the 2024 New Deal consolidated and simplified it with the €10,000 deductible.

Here's how it actually works:

• Gross: the Swiss employer calculates the gross salary (e.g. CHF 60,000 per year)
• Tax at source: the Canton of Ticino or the Federal Tax Administration (AFC/ESTV) directly withholds federal, cantonal and municipal tax. The rate depends on the canton, income and family situation.
• No double taxation: Italy DOES NOT require additional tax at source. In the EC framework of declaration 730, enter Swiss employment income, declare the tax paid in Switzerland, and the Revenue Agency recognizes the tax credit.
• Gross income up to €10,000: If your annual net income does not exceed €10,000, the New Deal exemption completely exempts this amount from taxation in Switzerland. Useful for those who work part-time or have just started.

Over €10,000, excess income is normally taxed in Switzerland at the cantonal and federal rate.

AVS, LPP, LAMal: social security and health obligations in

Useful tools for your case

To verify your within/over 20 km tax scenario, use the net salary calculator and the tax return guide.

Key points

Checklist pre-trasferimento: the 7 essential steps

Before starting to look for a house in Mariano Comense and beginning work in Ticino, make sure you have everything in order. Here is the operational sequence:

1. Contact with the Swiss employer

The process starts here. The Ticinese company must present the request for authorization of occupation to the State Secretariat for Migration (SEM) and to the cantonal economic office. You CANNOT do it alone; it is the administrative responsibility of the employer.

2. Identity and domicile documents

Make sure you have a valid Italian passport (not just the identity card—Swiss people require a passport for the G Permit). If you already have confirmed domicile in Mariano Comense, collect the proof (rental contract, bank transfer or property, bills, municipal registration).

3. G Permit request

Once the employer has obtained clearance from SEM, you present the documents to the Mariano Comense town hall. The release usually occurs within weeks of presentation.

4. Swiss social insurance (AVS/LPP) enrollment

The employer will inform you of the AVS enrollment number assigned (employee number), which you will use for all communications with Switzerland. The LPP (company pension fund) is managed by the company itself; you will receive specific documentation on contributions, rights, and pension.

5. Health insurance choice (LAMal vs INPS)

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