Who is considered “old frontier” vs “new frontier” for the annual allowance?

According to the new agreement that entered into force on 1 January 2024, 'old border guards' are those who were already holders of a G permit before 17 July 2023. These enjoy an annual exemption of up to €7,500 under the transitional regime 2024–2033. The "new frontier workers" (from that date onwards) receive a deductible of more than €10,000. This distinction significantly redefines Italian taxation and overall tax advantage.

In which country is tax withheld at source on my frontier salary?

The tax at source is only withheld in Switzerland on the income from work of border workers. Italy DOES NOT consider a simultaneous source tax. However, Italy provides a tax credit through the EC framework of Form 730 to avoid double taxation. This means that you declare foreign income in Italy and get the credit for taxes already paid in Switzerland.

Do I need to take out LAMal health insurance in Switzerland or can I stay in Italy?

Border workers with a G permit have the right of option: they can choose to insure with a Swiss LAMal provider or remain insured in the Italian INPS system. Swiss adult franchises range from CHF 300 to CHF 2,500 per year depending on the coverage chosen. We recommend evaluating both options based on your health situation and expected costs.

What contributions are automatically withheld from my Swiss paycheck?

From the Swiss paycheck are automatically retained: AVS/AI/IPG 5.3%, Unemployment Insurance (AD) and Accident Insurance (AC) about 1.1%, Professional Insurance (LAINF) 0.7-1.5%, and LPP (compulsory pension fund) 7–18% depending on age (from 25 years onwards). These are mandatory payments under Swiss federal law and help to create your AVS pension and LPP social security assets.

Where can I check if I am eligible for refunds and how to claim them?

Border crossers can claim refunds if they have paid excess taxes in Switzerland or if their tax situation changes during the year. The procedure varies according to the canton and the nature of the request. Consult Frontaliere Ticino's salary calculator and refreshments section for an initial assessment, then contact a specialised tax advisor to formalise your application with the Italian Revenue Agency.

Living in Cazzago Brabbia, working in Ticino

Di Redazione Frontaliere Ticino · Published on 21 August 2026

Border landscape between Ticino and Lombardy near Mendrisio with Alpine valleys and Lombard villages

Transfer to Cazzago Brabbia from border crossing Ticino: G permit, taxes, AVS/LPP, LAMal, costs and essential procedures.

Context

In short

Cazzago Brabbia in the province of Varese offers a strategic location for Ticino-Italy border crossers
New agreement 2024: exemption of €7,500 (old cross-border workers) or €10,000 (new cross-border workers) on the Italian tax base
Withholding tax withheld only in Switzerland; Italian tax credit avoids double taxation
G permit essential for legal commuting to Ticino

Key facts

What: Housing transfer to Cazzago Brabbia for cross-border work in Ticino
When: Applicable from January 2024 with new tax agreement
Where: Cazzago Brabbia (Varese, Lombardy) towards Ticino (Switzerland)
Who: Cross-border workers with G permit employed by Swiss employers
Exemption amount: €7'500 (pre-17/7/2023) or €10'000 (post-17/7/2023)

Cazzago Brabbia, in the province of Varese, represents a strategic housing choice for those who decide to work in Ticino as cross-border workers. Located between the Lombard landscape and the Ticino borders, the town offers an intermediate position that deserves careful analysis before the move. The new tax agreement which came into force on 1 January 2024 has changed the rules for cross-border commuters with a G permit, introducing an annual exemption that varies based on their personal status as of 17 July 2023.

G permit: the legal basis of the cross-border worker

The first consideration for those who want to work in Ticino as a resident of Cazzago Brabbia concerns the G permit. This document legally allows cross-border work and is the foundation of your cross-border activity. The application must be submitted to the competent Swiss authorities with documentation which must include the employment contract with a Swiss employer, valid identity documents and Italian tax certificates.

The G permit allows you to regularly cross the passes (Brogeda, Chiasso, Gaggiolo) to go to work in Ticino. The validity of the permit depends on the continuity of Swiss employment, therefore the loss of work entails the need for renewal or forfeiture.

Taxation: the new exemption regime

One of the most relevant issues for those who live in Lombardy and work in Switzerland is the tax treatment of income. The basic rule: withholding tax is withheld in Switzerland from the earned income of cross-border workers. There is no double taxation because Italy recognizes a tax credit through the EC framework of form 730 in the annual declaration.

The new agreement of January 2024 introduced an annual deductible which represents a significant advantage:

Old cross-border commuters (already active before 17 July 2023): exemption up to €7,500 in the transitional regime 2024–2033. New cross-border workers (from that date onwards): €10,000 deductible. This exemption reduces the Italian tax base and can result in substantial tax savings.

To see the impact on your paycheck, use the salary calculator which simulates gross salary, tax withholdings and net income considering the annual deductible.

Operational details

Cost of living and housing choice

The cost of living in Cazzago Brabbia is generally lower compared to Ticino centers like Lugano, Bellinzona or Locarno. Although we don't have specific detailed figures, it's known that Lombardy offers lower prices for rentals and real estate compared to Swiss Italian territory. This represents a tangible economic advantage: savings on housing can partially compensate for Swiss cantonal and federal taxes and commuting costs.

Finding a home in Cazzago Brabbia must consider proximity to main border crossings and connection to public transportation to Ticino work centers. Some areas of the town offer reasonable access to border crossings and A2/A9 highways, while others require longer trips to the border.

Health insurance (LAMal) and pension system

Those working in Ticino must subscribe to a mandatory health insurance policy with a Swiss provider. Frontiersmen with a G permit have the option to choose: they can insure themselves in Switzerland according to LAMal rules or remain in the Italian INPS system. Swiss adult franchises vary from CHF 300 to CHF 2,500 per year depending on the chosen coverage.

It's essential to evaluate both options based on your health situation, medical visits frequency and expected costs. Compare health insurance options available for frontiersmen.

In addition, AVS (Pension and Survivors Insurance) contributions are directly deducted from the Swiss payroll, with a 5.3% withholding from the employee's salary. The LPP (Professional Pension Fund) is mandatory for those working in Switzerland, with rates varying based on age: from 7% to 18% of the salary mass for workers aged 25 or over. These contributions build up your old-age pension and pre-retirement wealth.

Deepen the AVS, LPP and pension calculation with dedicated tools.

Transportation and daily commuting

Travel times from Cazzago Brabbia to main Ticino work centers (Mendrisio, Lugano, Bellinzona, Locarno) depend on the specific location of your workplace and available transportation routes. Border infrastructure – A2 highway north, A9 east, and transfrontier railways – represent the main commuting routes for frontiersmen.

Many frontiersmen use public transport (buses, regional trains) or their private car. The choice depends on travel costs, service frequency and total available time. Border crossings like Brogeda (rail and road) and Chiasso (highway) are the main transit points to southern Ticino.

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

Procedure for Transfer: Essential Steps

Before transferring to Cazzago Brabbia and starting work in Ticino, follow these fundamental steps to regularize your position as a frontier worker.

Step 1: Request Permit G

Address the competent Swiss authorities in matters of migration (Ticino cantonal office) with a request for Permit G. Attach: Swiss employment contract signed by the employer, valid passport or ID document, Italian fiscal certificates (CUD or Unique Certification), letter of references from the Swiss employer.

Step 2: Tax Registration in Italy

Inform the Italian Revenue Agency of your frontier worker status. Declare the CE form of the 730 module for tax credit and annual exemption (€7,500 or €10,000 based on your status as of July 17, 2023).

Step 3: LAMal Subscription in Switzerland

Once you have obtained Permit G, choose a Swiss insurance provider and activate LAMal coverage. Keep the contract and policy documentation for potential tax checks.

Step 4: Opening a Swiss Bank Account

Many Swiss employers require a bank account in a Swiss bank for salary payment. Contact cross-border banking institutions to simplify operations.

Step 5: Verification of Salary and Contributions

After the first month of work, receive your salary. Verify that AVS (5.3% employee), AD/AC (approximately 1.1%), LAINF (0.7-1.5%), and LPP (7-18% based on age) contributions are correctly calculated and withheld.

Available Tools and Resources

Before transferring, consult the salary net calculator to simulate your Swiss gross salary, tax withholdings, and net income after taxes and contributions, including the effects of the annual exemption.

If your tax situation changes over time or you have overpaid taxes, check the procedure for refunds and recoveries to request the return of amounts to the Italian Revenue Agency.

Finally, before deciding on the transfer, consult a specialized tax consultant in Ticino-Italy frontier law. A professional can confirm your specific tax position, calculating the benefits of the annual exemption and implications on AVS, LPP, and LAMal in a personalized manner.

Frequently Asked Questions

Who is considered “old frontier” vs “new frontier” for the annual allowance?: According to the new agreement that entered into force on 1 January 2024, 'old border guards' are those who were already holders of a G permit before 17 July 2023. These enjoy an annual exemption of up to €7,500 under the transitional regime 2024–2033. The "new frontier workers" (from that date onwards) receive a deductible of more than €10,000. This distinction significantly redefines Italian taxation and overall tax advantage.
In which country is tax withheld at source on my frontier salary?: The tax at source is only withheld in Switzerland on the income from work of border workers. Italy DOES NOT consider a simultaneous source tax. However, Italy provides a tax credit through the EC framework of Form 730 to avoid double taxation. This means that you declare foreign income in Italy and get the credit for taxes already paid in Switzerland.
Do I need to take out LAMal health insurance in Switzerland or can I stay in Italy?: Border workers with a G permit have the right of option: they can choose to insure with a Swiss LAMal provider or remain insured in the Italian INPS system. Swiss adult franchises range from CHF 300 to CHF 2,500 per year depending on the coverage chosen. We recommend evaluating both options based on your health situation and expected costs.
What contributions are automatically withheld from my Swiss paycheck?: From the Swiss paycheck are automatically retained: AVS/AI/IPG 5.3%, Unemployment Insurance (AD) and Accident Insurance (AC) about 1.1%, Professional Insurance (LAINF) 0.7-1.5%, and LPP (compulsory pension fund) 7–18% depending on age (from 25 years onwards). These are mandatory payments under Swiss federal law and help to create your AVS pension and LPP social security assets.
Where can I check if I am eligible for refunds and how to claim them?: Border crossers can claim refunds if they have paid excess taxes in Switzerland or if their tax situation changes during the year. The procedure varies according to the canton and the nature of the request. Consult Frontaliere Ticino's salary calculator and refreshments section for an initial assessment, then contact a specialised tax advisor to formalise your application with the Italian Revenue Agency.