Lombardy Health Tax Postponement (cross-border guide)

Context

TL;DR - Lombardy delays health tax, creating uncertainty for cross-border workers. - Health tax aims to finance Italy's National Health Service. - Cross-border workers may face double taxation in Italy and Switzerland. - Lombardy's tax postponement affects over 63,000 workers from Ticino. ## Key facts - Legge: Legge No. 38 del 2021 - Scopo: Finanziare il Servizio Sanitario Nazionale italiano - Lavoratori interessati: Lavoratori transfrontalieri che lavorano in Lombardia e vivono in Ticino - Importo stimato: Circa €200-300 all'anno per persona - Numero lavoratori: Oltre 63.000 persone nel 2022 - Regioni coinvolte: Lombardia, Piemonte, Ticino (Svizzera) - Scadenza decreti attuativi: 90 giorni dall'entrata in vigore della legge - Copertura assicurativa: Lavoratori senza assicurazione sanitaria svizzera equivalente devono pagare la tassa During the 'Border' program on Etv, the regional councilor of Fratelli d'Italia Giacomo Zamperini, head of the committee on Relations between Lombardy and the Swiss Confederation, stated that 'Lombardy Region is not a playground, if other regions, such as Piedmont, do not apply it, then we will not apply it until everyone else does'. The health tax is a state law and should be considered as such and not ignored. However, the Lombardy Region seems intent on delaying the application of this tax, creating uncertainty among cross-border workers who work in Lombardy and live in Ticino. The health tax was introduced with Law No. 38 of 2021, with the aim of financing the National Health Service (SSN) through a levy on personal income. For cross-border workers, this means they could be required to pay the tax in both Italy and Switzerland, depending on the respective regulations. For example, a worker who lives in Como and works in Lugano could be subject to the health tax in Lombardy, but also to Swiss income tax. The wait is now for the implementing decrees that will regulate the methods for collecting the tax and see who will be required to pay it. According to the law, the implementing decrees must be issued within 90 days of the law coming into force. However, to date, these decrees have not yet been published. For cross-border workers who live in municipalities such as Como, Varese, or Sondrio, the uncertainty surrounding the health tax is generating concern. For example, a worker who earns €50,000 per year and lives in Como could be subject to a health tax of around €200 per year, according to estimates by the Lombardy Region. However, if the tax is not applied uniformly across all regions, this could create disparities among cross-border workers living in different areas of the country. To clarify the situation, here is an operational checklist for cross-border workers: - Check if the Region of residence has applied the health tax - Calculate the amount of the tax based on annual income - Check if you are subject to Swiss income tax - Check if there are agreements between Italy and Switzerland to avoid double taxation While waiting for the implementing decrees, cross-border workers can consult the resources available on the Revenue Agency website to better understand the implications of the health tax. Additionally, it is essential that cross-border workers are informed about the regulations in force and any changes that could affect their tax situation.

Operational details

The Lombardy Region's decision to postpone the introduction of the health tax has significant implications for cross-border workers who work in the region and live in Ticino. The tax, initially planned to finance the regional healthcare system, was introduced with the aim of covering the growing costs of the Lombardy healthcare system. However, its application has been slowed down by various Italian regions, creating uncertainty among cross-border workers who work in Lombardy. Ticino is particularly interested in this issue, as many cross-border workers work in Lombardy and contribute to its healthcare system. According to data from the Federal Statistical Office, in 2022, over 63,000 people worked in Lombardy and lived in Ticino. Municipalities such as Chiasso, Mendrisio, and Lugano are particularly affected by this phenomenon, with many cross-border workers commuting daily to work in Lombardy. Cross-border workers could be required to pay the tax if they are not already covered by equivalent health insurance in Switzerland. The regulations provide that cross-border workers who do not have equivalent Swiss health insurance must pay the Lombardy health tax. For example, if a cross-border worker works in Milan and lives in Chiasso, they could be subject to the tax if they do not have Swiss health insurance that covers medical expenses in Italy. The Lombardy health tax was introduced with Regional Law No. 29 of 2019 and provides for an annual tax of around €200-300 per person. However, the exact amount varies depending on the income category and individual circumstances. For example, a cross-border worker with an annual income of €50,000 could be subject to a tax of around €250 per year. For cross-border workers, it is essential to check if their Swiss health insurance is considered equivalent by the Lombardy authorities. An operational checklist for cross-border workers could include: - Check the status of Swiss health insurance with the insurer - Check if Swiss health insurance covers medical expenses in Italy - Consult a tax expert to determine the impact of the Lombardy health tax on their tax situation In general, cross-border workers who have basic Swiss health insurance are considered to be covered equivalently and should not be subject to the Lombardy health tax. However, it is crucial to verify individual circumstances to avoid surprises. ## Recommended tools For an updated estimate, use the net salary calculator and the CHF-EUR exchange comparator.

Key points

Health tax, Lombardy postpones: what it means for cross-border workers Cross-border workers who work in Lombardy and live in Ticino must be aware of the possible implications of the health tax. It is essential to check if you are already covered by equivalent health insurance in Switzerland to avoid being taxed twice. The regulations in force provide that cross-border workers must be covered by health insurance that meets the minimum requirements established by Swiss law. If health coverage in Italy is equivalent, cross-border workers can avoid double taxation. > The Lombardy Region has postponed the introduction of the health tax, initially planned for 2026. This postponement has raised various questions among cross-border workers who work in the region and reside in Ticino. To better understand how the health tax could impact your net salary, it is crucial to analyze some concrete examples. Let's consider a cross-border worker who resides in Chiasso and works in Como. If the health tax had been introduced, this worker would have had to pay an annual sum of around €200. Considering an annual gross salary of €50,000, the health tax would have represented 0.4% of the gross salary. 📊 Use our salary calculator to check how the health tax could affect your net salary. The Swiss regulations provide that cross-border workers must be covered by health insurance that meets the minimum requirements established by Swiss law (art. 3 LAMal). If health coverage in Italy is equivalent, cross-border workers can avoid double taxation. It is essential to check if your Italian health insurance meets these requirements to avoid being taxed twice. 💡 Operational checklist for cross-border workers: - Check if your Italian health insurance meets the minimum requirements established by Swiss law. - Check if you are already covered by equivalent health insurance in Switzerland. - Use our salary calculator to understand how the health tax could impact your net salary. ⚠️ It is crucial to act promptly to avoid being taxed twice. The effective date of the regulations and the related deadlines for submitting tax returns are essential for correctly planning your tax situation.

Official sources

• Swiss Federal Statistical Office (FSO) — Wages and income
• Canton Ticino — Withholding tax (cantonal tax authority, in Italian)
• Swiss Federal Tax Administration (FTA) — Switzerland–Italy tax agreement
• Agenzia delle Entrate — Cross-border commuter rules (Italy, in Italian)