If I live in Grandola and the United States and work in Ticino, do I pay taxes in Switzerland and Italy?

No, you do not pay taxes in both countries on the same basis. Switzerland applies tax at source on your paycheck. Italy avoids double taxation by means of tax credit in form 730 (EC framework). When filling out the Italian declaration, indicate the tax withheld in Switzerland as a credit: thus reducing the Italian taxes due by the same amount.

What is the difference between old and new border crossing since 2024?

If you were a frontier worker before 17 July 2023, you are an 'old' frontier worker with a free allowance of EUR 7,500 per year, on a transitional basis until 2033. If you start frontier work now or after that date, you are 'new' with an excess of EUR 10,000 per year. The deductible and the annual non-taxable income: above this amount, the ordinary tax of the canton of Ticino is triggered.

Are AVS and LPP contributions paid in Switzerland or Italy?

Entirely in Switzerland. Your employer pays the AVS (5.3% employee + 5.3% employer), unemployment insurance (1.1%), and the LPP occupational pension (7-18% employee depending on age) to the competent Swiss bodies. The Italian INPS does not collect these contributions because your work is foreign from the Italian point of view.

What happens if I change jobs in Switzerland or move back to Ticino?

If you change employer in Switzerland, the new employer registers you with the AFC/ESTV with the same Swiss identification number: tax and automatic continuity. If you move to live in Ticino (from Grandola and the United States), you lose your border status and become resident in Switzerland: tax rates change according to ordinary Ticino rules, AVS/LPP contributions remain mandatory, and the tax regime becomes that of the resident.

Is it advisable to insure in Switzerland (LAMal) or stay in Italy?

As a G-boundary, you have the right of option. If your employment relationship and citizenship status entitle you to Italian INPS coverage, you can remain insured in Italy. If you prefer Swiss LAMal, the cost ranges from CHF 300 to CHF 2,500 per year (depends on deductible, age and canton of Ticino). Consider both options before deciding: medical coverage, costs, network of healthcare facilities.

From Grandola and Uniti to Ticino: border guide (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 24 August 2026

Evening view of Mendrisio, Ticino's border town, with the church tower rising above red-roofed buildings

Moving to Grandola and the United States to work in Ticino entails tax advantages and contributory risks. Here's what to check before transferring.

Context

In a nutshell

G permit frontier: Swiss taxation, withheld at source on the paycheck
Income exemption: EUR 7,500 old frontier workers, EUR 10,000 new frontier workers from 2024
AVS/LPP: paid in Switzerland at 5.3% + 7-18% employee, managed by the employer

Key facts

What: Working as a G border worker from Granola and United in Ticino with G Permit
When: Submitted to a New Agreement from 1 January 2024
Where: Border Como-Ticino, municipality of Grandola ed Uniti
Who: Border workers resident in Italy who work in Switzerland
Regulations: New Frontier Agreement (signed 23/12/2020, effective 1/1/2024)

The change of 2024: what happened

On 1 January 2024, the New Frontier Agreement between Italy and Switzerland entered into force, signed on 23 December 2020 and ratified by Italy with Law 83 of 13 June 2023. This agreement has significantly changed the rules for those who choose to live in Grandola and the United States and work in Ticino.

Before 2024, the regime was more favourable: the standard deduction from the Italian tax base was wider. Now the new rules establish a different franchise depending on when you became frontier.

If you were already a border worker before 17 July 2023, you are entitled to an exemption of EUR 7,500 per year from employee income (see the guide on the permesso G to verify your status). This exemption remains in force under the transitional regime until 2033. If instead you have become

Operational details

Social contributions: AVS, LPP and insurance

In addition to the tax at source, in Switzerland you pay the compulsory social contributions calculated on the paycheck. Your employer is responsible for paying them to the competent Swiss bodies.

AVS * (old-age, survivors' and disability insurance) costs 5.3% of the paycheck for the employee, with an equivalent 5.3% from the employer. The amount is calculated up to a federal ceiling of CHF 148,200 per year. Under the minimum of CHF 1,396 per year, you do not have to pay anything.

There is also an unemployment contribution (AD) of 1.1% and an accident insurance contribution (AC) of about 0.7-1.5% (paid by the employer). IPG (loss of earnings allowance) represents 0.2% of salary.

Occupational pension (LPP), the second Swiss pillar, has been compulsory for 25 years. The percentage varies by age group: around 7% for 25-34 years, 10-11% for 35-44 years, 15-18% for 45 years onwards. This fund guarantees an annuity in invalidity or old age, in addition to the accumulated capital.

If you are a resident of Grandola and the United States and work in Switzerland with a G Permit, the contributions are managed entirely by the employer and Switzerland. Do not declare them to the Italian INPS, because your work is foreign from the Italian point of view.

Paycheck: what you will find written

The Swiss paycheck (Lohnabrechnung) is structured differently from the Italian one. You will see the gross salary, deductions for AVS, AD, AC, LPP AND

Useful planning tools

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

Key points

Checklist before moving to Grandola ed Uniti

Before signing rental or purchase contracts in Grandola ed Uniti, here are the points to check:

1. Determine if you are a new or old frontier worker. If you started working in Switzerland before July 17, 2023, you are in the transitional regime with a CHF 7,500 exemption until 2033. If you start now, you are a new frontier worker with a CHF 10,000 exemption. This distinction is crucial for calculating your salary package.

2. Ask your employer for an estimate of the Swiss tax. Provide them with your expected gross salary and the canton of Ticino you will be working in (Mendrisio, Lugano, Bellinzona, Locarno). They will give you a realistic estimate of the monthly withholding tax.

3. Check the distance from your workplace. Grandola ed Uniti is in the Comasco: the distance varies depending on the border crossing (Brogeda, Gaggiolo, Ponte Tresa) and the final destination. The farther the workplace, the more time and costs of transportation.

4. Calculate the cost of the LAMal insurance (Swiss health insurance). As a frontier worker G, you have the option: you can choose Swiss LAMal (mandatory) or stay covered by the Italian INPS if you are recognized. If you choose LAMal, the cost varies from CHF 300 to CHF 2,500 per year (exemption), depending on age and canton of Ticino. Include this expense in your economic assessment.

5. Prepare the documents for AFC/ESTV. When working in Switzerland, your employer will register you with the Federal Administration of Contributions (AFC/ESTV). You will receive a Swiss tax identification number: keep it for the Italian declaration (model 730, CE box).

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Frequently Asked Questions

If I live in Grandola and the United States and work in Ticino, do I pay taxes in Switzerland and Italy?: No, you do not pay taxes in both countries on the same basis. Switzerland applies tax at source on your paycheck. Italy avoids double taxation by means of tax credit in form 730 (EC framework). When filling out the Italian declaration, indicate the tax withheld in Switzerland as a credit: thus reducing the Italian taxes due by the same amount.
What is the difference between old and new border crossing since 2024?: If you were a frontier worker before 17 July 2023, you are an 'old' frontier worker with a free allowance of EUR 7,500 per year, on a transitional basis until 2033. If you start frontier work now or after that date, you are 'new' with an excess of EUR 10,000 per year. The deductible and the annual non-taxable income: above this amount, the ordinary tax of the canton of Ticino is triggered.
Are AVS and LPP contributions paid in Switzerland or Italy?: Entirely in Switzerland. Your employer pays the AVS (5.3% employee + 5.3% employer), unemployment insurance (1.1%), and the LPP occupational pension (7-18% employee depending on age) to the competent Swiss bodies. The Italian INPS does not collect these contributions because your work is foreign from the Italian point of view.
What happens if I change jobs in Switzerland or move back to Ticino?: If you change employer in Switzerland, the new employer registers you with the AFC/ESTV with the same Swiss identification number: tax and automatic continuity. If you move to live in Ticino (from Grandola and the United States), you lose your border status and become resident in Switzerland: tax rates change according to ordinary Ticino rules, AVS/LPP contributions remain mandatory, and the tax regime becomes that of the resident.
Is it advisable to insure in Switzerland (LAMal) or stay in Italy?: As a G-boundary, you have the right of option. If your employment relationship and citizenship status entitle you to Italian INPS coverage, you can remain insured in Italy. If you prefer Swiss LAMal, the cost ranges from CHF 300 to CHF 2,500 per year (depends on deductible, age and canton of Ticino). Consider both options before deciding: medical coverage, costs, network of healthcare facilities.