Living in Sala Comacina and working in Ticino as a border worker

Context

In short

• Sala Comacina is an Italian municipality near the Swiss border.
• Cross-border workers can work in Ticino and live in Italy.
• The new cross-border agreement will come into effect from January 1, 2024.

Key facts

• What: New cross-border agreement
• When: From January 1, 2024
• Where: Ticino, Italy
• Who: Cross-border workers
• Amount: Allowance €10'000 for new cross-border workers

The new cross-border agreement, signed on December 23, 2020 and ratified by Italy with Law 83 of June 13, 2023, will come into effect from January 1, 2024. This agreement establishes new rules for cross-border workers who work in Switzerland and live in Italy. For new cross-border workers, the allowance will be €10'000, while old cross-border workers will have a transitional regime until 2033 with an allowance of €7'500.

Connections and travel times

Sala Comacina is well connected with Ticino. Travel times vary depending on the means of transport chosen. By car, the journey from Sala Comacina to Lugano can take about 40 minutes, while by train the travel time is similar. It is important to consider also the waiting times at border crossings, such as Brogeda and Gaggiolo, which can vary depending on traffic.

Concrete examples

A cross-border worker who lives in Sala Comacina and works in Lugano can save about €2'500 per year thanks to the new allowance of €10'000. This means that, if they earn €50'000 per year, they will pay taxes only on €40'000. Furthermore, cross-border workers who work in Mendrisio will benefit from the same tax conditions, making the choice to live in Sala Comacina even more advantageous.

Regulations and dates

The new cross-border agreement also introduces new rules for residence. Cross-border workers must reside in Italy for at least 183 days a year to benefit from the new allowances. This means that, if a cross-border worker lives in Sala Comacina and works in Lugano, they must prove that they reside in Italy for at least 183 days a year.

Operational checklist

1. Residence check: Ensure you reside in Italy for at least 183 days a year. 2. Registration with the municipality: Register with the municipality of Sala Comacina and obtain a residence permit. 3. Work permit: Obtain a Swiss work permit and register with the Swiss tax office. 4. Tax allowance: Check the applicable tax allowance (€10'000 for new cross-border workers, €7'500 for old cross-border workers until 2033). 5. Travel times: Plan travel times and consider waiting times at border crossings.

Comparisons between practical scenarios

A cross-border worker who lives in Sala Comacina and works in Lugano can save about €2'500 per year thanks to the new allowance of €10'000. This means that, if they earn €50'000 per year, they will pay taxes only on €40'000. Furthermore, cross-border workers who work in Mendrisio will benefit from the same tax conditions, making the choice to live in Sala Comacina even more advantageous.

Conclusion

The new cross-border agreement offers new opportunities for workers living in Italy and working in Switzerland. With a higher tax exemption and clear rules on residence, cross-border workers can benefit from more favorable tax conditions. However, it is important to follow the operational checklist and plan travel times to avoid inconveniences. "The new cross-border agreement is a step forward for workers living in Italy and working in Switzerland. With a higher tax exemption and clear rules on residence, cross-border workers can benefit from more favorable tax conditions." — Tax expert

📊 Data and statistics

• Number of cross-border workers: Approximately 60,000 cross-border workers work in Ticino.
• Tax savings: A cross-border worker earning €50,000 per year can save approximately €2,500 thanks to the new exemption.
• Travel times: By car, the journey from Sala Comacina to Lugano takes about 40 minutes.

💡 Practical tips

• Plan travel times: Consider waiting times at border crossings.
• Verify residence: Ensure you reside in Italy for at least 183 days a year.
• Register with the municipality: Register with the municipality of Sala Comacina and obtain a residence permit.

⚠️ Warnings

• Border controls: Waiting times at border crossings can vary depending on traffic.
• Tax regulations: Ensure you follow Swiss and Italian tax regulations.
• Work permit: Obtain a Swiss work permit and register with the Swiss tax office.

Operational details

Cost of Living and Recommended Areas

Living in Sala Comacina offers several advantages, including a generally lower cost of living than in Ticino. For example, a rent of an apartment of 80 square meters in Ticino can cost on average CHF 1,800 per month, while in Sala Comacina the same apartment can cost about CHF 800 per month. However, it is important to consider commuting expenses, such as fuel and highway tolls. The cost of fuel in Italy is generally lower than in Switzerland, but motorway tolls can add up quickly. The recommended areas for border crossers are those near border crossings, such as Chiasso and Mendrisio, which offer easy access to Ticino. For example, Chiasso is just a 15-minute drive from Como, while Mendrisio is a 20-minute drive from Varese.

Advantages and Disadvantages of Transferring

Among the advantages of the transfer to Sala Comacina are the lower cost of living and the opportunity to enjoy Italian life. However, there are also disadvantages, such as travel times and commuting expenses. It is important to carefully evaluate these factors before making a decision. For example, a worker living in Sala Comacina and working in Lugano could spend around CHF 200 per month on fuel and tolls, in addition to travel time which can vary between 30 and 45 minutes depending on traffic.

Operational checklist for cross-border commuters

1.

Useful planning tools

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

Key points

What to consider before moving

Before moving to Sala Comacina, it is important to consider several aspects. First, you need to verify the requirements to obtain the Permit G, which allows you to work in Switzerland and reside in Italy. This permit is essential for cross-border workers and requires that your workplace is in Switzerland and your main residence is in Italy. Additionally, it is important to inform yourself about the tax rates and social security contributions, such as the AVS (Old-Age and Survivors' Insurance) and the LPP (Professional Pension). The tax rates in Switzerland vary depending on the canton, with Ticino having one of the lowest rates, around 20-25% for medium-high incomes.

Step-by-step procedure

1. Verify the requirements for the Permit G:

• Ensure that your workplace is in Switzerland and your main residence is in Italy.
• Check that your employment contract is valid and that you meet the residence requirements.

2. Inform yourself about tax rates and social security contributions:

• Tax rates in Switzerland vary depending on the canton. For example, in Ticino, the rate for medium-high incomes is around 20-25%.
• Social security contributions include the AVS, which is 10.5% of the annual salary, and the LPP, which varies depending on the employer.

3. Evaluate travel times and commuting expenses:

• Sala Comacina is well connected with Ticino municipalities such as Lugano and Chiasso. For example, the travel time from Sala Comacina to Lugano is about 45 minutes by car.
• Commuting expenses include fuel, tolls, and, if necessary, parking. A concrete example: a commuter who travels 50 km a day to reach work will spend about 100-150 Swiss francs per month on fuel.

4. Consider the cost of living and recommended areas for cross-border workers:

• The cost of living in Sala Comacina is generally lower compared to Ticino municipalities. For example, the rent for a two-bedroom apartment in Sala Comacina can cost around 800-1000 euros per month, while in Lugano it can exceed 1500 euros.
• Recommended areas for cross-border workers include municipalities such as Sala Comacina, Lenno, and Tremezzina, which offer a good balance between cost of living and quality of life.

Operational checklist

• Required documentation:
• Valid passport or ID card.
• Employment contract in Switzerland.
• Proof of residence in Italy.
• Birth certificate and marriage certificate (if applicable).

• Useful contacts:
• Ticino cantonal tax office.
• Federal Customs Administration (FCA).
• Italian consulate in Switzerland.

• Practical tips:
• Plan your commuting route and evaluate public transport options.
• Inform yourself about tax benefits for cross-border workers, such as the deduction of commuting expenses.
• Consider opening a bank account in Switzerland to facilitate financial transactions.

Comparison of practical scenarios

• Scenario 1: Commuting from Sala Comacina to Lugano
• Travel time: 45 minutes by car.
• Fuel cost: about 100-150 Swiss francs per month.
• Tax rate: 20-25% on medium-high income.

• Scenario 2: Commuting from Lenno to Chiasso
• Travel time: 30 minutes by car.
• Fuel cost: about 80-120 Swiss francs per month.
• Tax rate: 20-25% on medium-high income.

• Scenario 3: Commuting from Tremezzina to Lugano
• Travel time: 50 minutes by car.
• Fuel cost: about 120-180 Swiss francs per month.
• Tax rate: 20-25% on medium-high income.

For further information, consult our tax calculator and currency exchange comparator.