How is the income of the border worker living in Lurago Marinone taxed?

Tax at source is withheld directly in Switzerland. Italy eliminates double taxation by applying a foreign income tax credit through the declaration of income through the EC framework of form 730.

What are the differences between old and new frontier workers for the franchise?

The old frontier workers, who were already working in Switzerland before 17 July 2023, benefit from an exemption of 7,500 euros and a transitional regime covering the period from 2024 to 2033. New frontier workers, on the other hand, can take advantage of a deductible of 10,000 euros.

What social contributions are withheld from the salary in Switzerland?

AVS, AI and IPG contributions at 5.3 percent for the employee, AD and AC contributions at 1.1 percent calculated up to a ceiling of 148200 francs, as well as LAINF withholdings between 0.7 and 1.5 percent and LPP pension between 7 and 18 percent are taxed on the Swiss payroll.

Living in Lurago Marinone and working in Ticino as a border worker (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 20 August 2026

Comprehensive analysis for those who choose to live in Lurago Marinone and take the border crossing in Ticino between connections, taxation and costs.

Context

Summary

Withholding tax at source in Switzerland
New Agreement in force since January 1, 2024
Tax credit to avoid double taxation
Management via Agenzia delle Entrate and INPS

Key Facts

What: Cross-border commuting between Italy and Switzerland
When: New Agreement effective from January 1, 2024, ratified by Law 83 of June 13, 2023
Where: Lurago Marinone and Canton Ticino
Who: Italian cross-border workers and tax authorities AFC, MEF, Agenzia delle Entrate
Amount: 10,000 euro allowance for new cross-border workers, 7,500 euro exemption for old cross-border workers

…

Operational details

Moving to Lurago Marinone to pursue a career as a border worker in Ticino involves a series of practical assessments related not only to travel logistics, but also to the management of compulsory social security and health coverage. Employees serving in Swiss territory are subject to the payment of social security contributions managed by the competent bodies such as the AVS, the AI and the IPG, with a rate to be paid by the employee set at 5.3 percent. Added to these are contributions for AD and AC unemployment amounting to 1.1 percent up to the threshold of 148200 Swiss francs, as well as coverage for LAINF accidents ranging from 0.7 to 1.5 percent and compulsory occupational pension LPP, whose rate varies from 7 to 18 percent based on age groups from 25 years. From the point of view of health care, border workers with a G permit fall under the right of option regime, being able to choose between the LAMal system and the Italian National Health Service, taking into account the deductibles for adults between 300 and 2500 francs. The comparison between the cost of living in Italy and wages received in Swiss francs requires a careful analysis of exchange rate fluctuations and monthly fixed expenses. To monitor currency trends and optimize cash flows, it is useful to consult the comparatore cambio for conversions between CHF and EUR. Income taxes in

Useful planning tools

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

Key points

Navigating the career path as a cross-border worker departing from Lurago Marinone requires compliance with a series of bureaucratic requirements and knowledge of the operational procedures to follow from the very first day of employment. Before starting work in Ticino, it is essential to verify possession of the necessary documentation, including the G permit issued by competent authorities such as the State Secretariat for Migration SEM. The administrative management of the employment relationship involves constant verification of the items on the Swiss payslip, which shows tax deductions and social security contributions managed by cantonal and federal offices. For those who commute daily by car toward customs crossings such as Brogeda or Gaggiolo, it is important to calculate vehicle management costs, the purchase of the Swiss motorway vignette, and parking management in Ticino work areas. Those who need a detailed overview of transport expenses can consult the section dedicated to commuting car costs to better plan road travel. Regarding annual tax management, cross-border workers defined as old cross-border workers, meaning those who were already working in Ticino before July 17, 2023, benefit from the 7,500 euro exemption and the transitional regime provided until 2033, while new cross-border workers can take advantage of the 10,000 euro allowance when filing their tax returns. To receive support in filling out the tax return and managing tax documents, you can use the tax return service for cross-border workers.

First day as a cross-border worker? Our practical guide walks you from cantonal registration to your first paycheck.

Frequently Asked Questions

How is the income of the border worker living in Lurago Marinone taxed?: Tax at source is withheld directly in Switzerland. Italy eliminates double taxation by applying a foreign income tax credit through the declaration of income through the EC framework of form 730.
What are the differences between old and new frontier workers for the franchise?: The old frontier workers, who were already working in Switzerland before 17 July 2023, benefit from an exemption of 7,500 euros and a transitional regime covering the period from 2024 to 2033. New frontier workers, on the other hand, can take advantage of a deductible of 10,000 euros.
What social contributions are withheld from the salary in Switzerland?: AVS, AI and IPG contributions at 5.3 percent for the employee, AD and AC contributions at 1.1 percent calculated up to a ceiling of 148200 francs, as well as LAINF withholdings between 0.7 and 1.5 percent and LPP pension between 7 and 18 percent are taxed on the Swiss payroll.