How has border workers' income been taxed since 2024?

From 1 January 2024, the new tax agreement provides that frontier workers pay the tax at source only in Switzerland. Italy, to avoid double taxation, applies the tax credit in form 730, based on the rules of the 1976 Convention.

What is the difference between old and new frontiersmen?

Old border workers, hired before 17 July 2023, enjoy a transitional regime until 2033 with an exemption of 7,500 euros. The new frontier workers have a deductible of 10,000 euros.

What is the right of option for LAMal?

It is the right granted to border workers with a G permit to choose whether to insure against diseases in Switzerland through LAMal. The choice must be formalized following the procedures provided by the competent authority.

Living in Maccagno with Pine and Veddasca and working in Ticino (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 28 July 2026

Practical guide for border workers: connections, taxation and daily life between Maccagno and Ticino in compliance with current regulations.

Context

In a nutshell

The new tax agreement is in force from 1 January 2024.
Border workers pay the tax at source exclusively in Switzerland.
Italy applies the tax credit to avoid double taxation.
Maccagno is a strategic point for commuting to the Canton of Ticino.

Key facts

What: Cross-border commuting and taxation.
When: New agreement in force from 1 January 2024.
Where: Maccagno with Pine and Veddasca (IT) and Canton Ticino (CH).
Who: Federal Tax Administration (FTA).
Amount: Deductible of 10,000 euros for new frontier workers.

The commute between Maccagno con Pino and Veddasca and the Canton of Ticino represents a lifestyle choice for many workers who work across borders. From 1 January 2024, the regulatory framework was redefined by the new tax agreement, signed on 23 December 2020 and ratified by Law 83 of 13 June 2023. This document is essential for anyone who intends to plan their professional career in Switzerland while maintaining their residence in the municipality of Varese. The tax discipline provides that the border crossing is subject to a withholding tax calculated according to the directives of the Federal Tax Administration (AFC). It is essential to understand that, for frontier workers, the tax is only withheld in Switzerland. To avoid double taxation, Italy recognises a tax credit, to be correctly declared in the EC framework of the

Operational details

The practical analysis of the life of cross-border workers requires a clear understanding of social contributions and deductions that impact the Swiss payslip. In addition to the withholding tax, the worker must consider the payment of AVS/AI/IPG contributions, which amount to 5.3% for the employee, and the unemployment insurance contribution (AD/AC) equal to 1.1% up to a salary cap of 148,200 francs. The accident insurance coverage (LAINF) varies between 0.7% and 1.5%, while the second pillar (LPP) requires contributions ranging from 7% to 18% depending on age group, starting from age 25.

Useful planning tools

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

Key points

For those starting to work in the Canton of Ticino residing in Maccagno, the regularization process is clear and requires attention to bureaucratic details. The first step is obtaining the G permit, which certifies the status of cross-border worker. Subsequently, it is necessary to notify your municipality of residence in Italy about the employment change, ensuring registration with AIRE if needed, even though for daily commuters the fiscal residence remains in Italy.

Operational steps

Swiss payroll management involves checking the withholding tax applied by the employer. It is advisable to regularly request the calculation of taxes paid to prepare the Italian tax return as accurately as possible. Regarding LAMal insurance, the cross-border worker must exercise the option right with the competent authority within the established deadlines to avoid sanctions or bureaucratic complications. Many workers find it useful to regularly review their social security statement to verify the correct payment of AVS and LPP contributions.

…

Frequently Asked Questions

How has border workers' income been taxed since 2024?: From 1 January 2024, the new tax agreement provides that frontier workers pay the tax at source only in Switzerland. Italy, to avoid double taxation, applies the tax credit in form 730, based on the rules of the 1976 Convention.
What is the difference between old and new frontiersmen?: Old border workers, hired before 17 July 2023, enjoy a transitional regime until 2033 with an exemption of 7,500 euros. The new frontier workers have a deductible of 10,000 euros.
What is the right of option for LAMal?: It is the right granted to border workers with a G permit to choose whether to insure against diseases in Switzerland through LAMal. The choice must be formalized following the procedures provided by the competent authority.