What is the difference between old and new border in the tax regime?

An old border crossing (registered before 17 July 2023) enjoys an exemption of CHF 7,500 per year with a transitional regime until 2033. A new frontier worker (registered from 17 July 2023 onwards) accesses a deductible of CHF 10,000 per year with no expiry date. This difference reduces the Swiss taxable amount and thus the overall source tax. Checking your status with your Ticino employer is essential for planning your finances.

Do I have to pay INPS contributions if I work in Switzerland as a border worker?

No. A border worker resident in Italy who works in Switzerland pays exclusively Swiss social contributions (AVS/AI 5.3%, AD/AC 1.1%, LAINF 0.7-1.5%, LPP 7-18%). Does not pay additional INPS contributions for Swiss work income. However, the Swiss contributory career is recognized for Italian pension purposes through the aggregation agreements between the two countries, guaranteeing social security continuity.

Can I choose to insure with LAMal (Switzerland) or CMI (Italy)?

Yes. The New Frontier Agreement guarantees border workers with G Permit the right to choose between Swiss health insurance (LAMal, with CHF 300-2,500 deductibles for adults) and Italian coverage (CMI/SSN). This option allows you to customize coverage according to your needs and preferred health network (Ticino hospitals vs. Como hospitals).

How does the tax credit work in the Italian 730 model?

Tax at source is withheld only in Switzerland. In the Italian model 730 (EC framework), the border worker declares the gross Swiss labour income, attaches the Swiss tax statements and recovers in tax credit the difference between the Swiss tax paid and the Italian IRPEF due (if less). This mechanism avoids double taxation. Consult an accountant for the exact calculation.

What is the Convention that avoids double taxation between Italy and Switzerland?

The Convention for the elimination of double taxation on income, signed on 9 December 1976 between Italy and Switzerland, regulates the taxation of income from work for residents of one country working in the other. For frontier workers with income from employment, the tax jurisdiction is Switzerland (country of employment), and Italy grants tax credit. This bilateral framework is fundamental for Como-Ticino border workers.

Living in Gravedona and the United States, working in Ticino as a border worker (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 3 September 2026

View of Ticino from Gravedona: Ceresio waterfront with mountains, Ticino jurisdiction visible across border

Border crossing from Gravedona and the United States to Ticino: taxation, permits, New Agreement, contributions and what to evaluate before moving.

Context

In brief

Living in Italy (Gravedona) and working in Switzerland (Ticino): cross-border regime with G permit
Withholding tax deducted in Switzerland, tax credit in Italy (form 730, section CE)
New Cross-Border Agreement from January 1, 2024: exemption CHF 7,500 (old) or CHF 10,000 (new)
AVS/LPP/LAMal: mandatory Swiss contributions and social security for cross-border workers

Key facts

What: New Cross-Border Agreement between Italy and Switzerland with tax exemption regimes
When: Signed on December 23, 2020, effective from January 1, 2024 (Law 83/2023 IT)
Where: Cross-border workers Como-Ticino, residents in Italy, workers in Switzerland
Exemption amount: CHF 7,500 for old cross-border workers (registered before 17/7/2023), CHF 10,000 for new ones
Tax: Deducted solely in Switzerland, tax credit in Italy
Double taxation agreement: Signed on December 9, 1976, prevents double taxation
Permit: G permit for cross-border workers (seasonal 4-12 months), issued by SEM (Migration Section)
LAMal: Cross-border workers with G permit have the option between Swiss LAMal and Italian CMI

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Operational details

Health Insurance and Choice Between LAMal and CMI

A border worker with Permit G can choose to insure with a Swiss health insurance fund (LAMal) or maintain Italian coverage (CMI). This right of choice is enshrined in the New Border Workers Agreement. If they opt for LAMal, they will choose a deductible between CHF 300 and CHF 2,500 (adults). If they remain with CMI, they maintain the basic Italian coverage (SSN) and can supplement it with additional policies. The choice has implications for the monthly cost and the network of hospitals that can be used (Ticino hospitals vs. Lombardy hospitals). Many border workers from Como who live in Gravedona choose CMI to maintain continuity with doctors and hospitals in the province.

Border Workers Agreement and Transitional Regimes

The New Border Workers Agreement, in force from January 1, 2024, introduces income brackets with temporary tax exemptions. Border workers already registered before July 17, 2023 (old border workers) benefit from an annual exemption of CHF 7,500 within a transitional regime that covers the decade 2024–2033. New border workers (registered from July 17, 2023 onwards) have access to an annual exemption of CHF 10,000 without a time limit. This difference directly impacts the Swiss taxable income and, consequently, the withholding tax. A border worker resident in Gravedona must verify their registration as an old or new border worker with their Ticino employer or with the Swiss tax authorities (AFC, Federal Tax Administration). The status determines the annual tax savings.

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Key points

Step 1: Check your status as an old or new frontier worker

Before moving to Gravedona, it is essential to determine whether you are an 'old frontier worker' (registered before July 17, 2023) or a 'new frontier worker' (registered from July 17, 2023 onwards). This status directly impacts your tax exemption (CHF 7,500 vs. CHF 10,000). Contact your Ticino employer or the Swiss tax authorities (AFC, Federal Tax Administration) to confirm your status. This is not a given and can make a difference of hundreds of francs per year on Swiss federal taxation.

Step 2: Choose your health insurance scheme

Within the terms set by the New Agreement, decide whether to join LAMal (Swiss) or maintain CMI (Italian). This choice affects your monthly premium, deductible, and available healthcare network. If you choose LAMal, select the deductible that best suits your profile (CHF 300-2,500 for adults). If you stay with CMI, ensure that your Italian coverage is sufficient for care in Switzerland (emergency hospitalization). Contact providers of both systems to compare monthly costs and included services.

Step 3: Plan your annual tax return

A frontier worker residing in Gravedona must complete two annual tax returns: in Switzerland with the Ticino cantonal tax authorities (if the canton requires a return), and in Italy using form 730 or 1040 (if without an employer CUD) in section CE (foreign tax credit), attaching Swiss tax statements. This procedure is mandatory annually and allows you to reclaim the tax credit and verify that double taxation has not been applied. Consulting a tax specialist in frontier workers is recommended, as calculating the tax credit requires precision and knowledge of the Italy-Switzerland treaties.

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Frequently Asked Questions

What is the difference between old and new border in the tax regime?: An old border crossing (registered before 17 July 2023) enjoys an exemption of CHF 7,500 per year with a transitional regime until 2033. A new frontier worker (registered from 17 July 2023 onwards) accesses a deductible of CHF 10,000 per year with no expiry date. This difference reduces the Swiss taxable amount and thus the overall source tax. Checking your status with your Ticino employer is essential for planning your finances.
Do I have to pay INPS contributions if I work in Switzerland as a border worker?: No. A border worker resident in Italy who works in Switzerland pays exclusively Swiss social contributions (AVS/AI 5.3%, AD/AC 1.1%, LAINF 0.7-1.5%, LPP 7-18%). Does not pay additional INPS contributions for Swiss work income. However, the Swiss contributory career is recognized for Italian pension purposes through the aggregation agreements between the two countries, guaranteeing social security continuity.
Can I choose to insure with LAMal (Switzerland) or CMI (Italy)?: Yes. The New Frontier Agreement guarantees border workers with G Permit the right to choose between Swiss health insurance (LAMal, with CHF 300-2,500 deductibles for adults) and Italian coverage (CMI/SSN). This option allows you to customize coverage according to your needs and preferred health network (Ticino hospitals vs. Como hospitals).
How does the tax credit work in the Italian 730 model?: Tax at source is withheld only in Switzerland. In the Italian model 730 (EC framework), the border worker declares the gross Swiss labour income, attaches the Swiss tax statements and recovers in tax credit the difference between the Swiss tax paid and the Italian IRPEF due (if less). This mechanism avoids double taxation. Consult an accountant for the exact calculation.
What is the Convention that avoids double taxation between Italy and Switzerland?: The Convention for the elimination of double taxation on income, signed on 9 December 1976 between Italy and Switzerland, regulates the taxation of income from work for residents of one country working in the other. For frontier workers with income from employment, the tax jurisdiction is Switzerland (country of employment), and Italy grants tax credit. This bilateral framework is fundamental for Como-Ticino border workers.