What are the new tax exemptions for Italy-Switzerland cross-border commuters from 2024?

From 1 January 2024, 'old' cross-border commuters benefit from a tax exemption of 7,500 euros. The 'new' cross-border workers, on the other hand, have a deductible of 10,000 euros. These thresholds are defined by the New Cross-Border Commuters Agreement and aim to simplify taxation for those who work in Switzerland and reside in Italy.

How does taxation for cross-border workers work after the New Cross-Border Agreement?

Switzerland levies a withholding tax on the earned income of cross-border commuters. Italy, to avoid double taxation, recognizes a tax credit. This credit is calculated on the basis of the taxes already paid in Switzerland, allowing the cross-border commuter to pay less tax in Italy, according to the provisions of the bilateral agreement.

What do I need to do to avoid double taxation by working in Switzerland and living in Italy?

To avoid double taxation, it is essential to comply with the rules of the Italy-Switzerland Convention and the New Border Agreements Agreement. It is necessary to verify the correct application of withholding taxes in Switzerland and make sure that you correctly declare your income in Italy, requesting the tax credit provided for taxes already paid.

When did the New Cross-Border Commuter Agreement between Italy and Switzerland come into force?

The New Cross-Border Commuter Agreement, signed on 23 December 2020, became effective as of 1 January 2024. This agreement updates the tax rules for cross-border workers, introducing new exemptions and simplifying the procedures for managing taxes between the two countries.

What are the risks if the rules of the New Cross-Border Commuter Agreement are not respected?

Failure to comply with the rules of the New Cross-Border Commuter Agreement may entail significant risks. The main one is double taxation, i.e. paying taxes on the same income in both Switzerland and Italy. Additional costs may also arise for the management of any disputes or for the regularization of taxes due.

Moving to Besano by border crossing: pros and cons (cross-border guide)

Di Marco Ferrari · Published on 10 August 2026

A frontaliere moving to Besano from Lugano

Impacts of travel for border workers and benefits of residence in Ticino

Context

In a nutshell

Switzerland is not a member of the EU/EEA.
The Italy-Switzerland double taxation agreement was signed on 9 December 1976.
The New Frontier Agreement was signed on 23 December 2020 and will apply from 1 January 2024.
Old frontier workers are entitled to an exemption of €7,500 in 2024, while new frontier workers have a deductible of €10,000.

Key facts

What: New Frontier Agreement
When: 1 January 2024
Where: Ticino
Who: Frontiersmen
Amount: €7,500 (exemption) and €10,000 (deductible)

The border worker who moves to Besano from Lugano must consider the impact of the trip on their income and the taxes to be paid. Switzerland applies a tax at source on the labour income of frontier workers, while Italy avoids double taxation with the tax credit (EC framework of 730). The border company must also consider the Italy-Switzerland double taxation convention and the New Frontier Agreement.

Moving to Besano by border crossing: pros and cons

Pro

Simplification: the New Frontier Agreement simplifies the management of taxes for border workers, reducing the complexity of the legislation.
Exemption: Old frontier workers can benefit from an exemption of €7,500 in 2024, while new frontier workers have an exemption of €10,000.
Ease of work: the New Frontier Agreement facilitates the work of border workers, reducing bureaucracy and

Operational details

The border worker who moves to Besano from Lugano must carefully consider the impact of the trip on their income and the taxes to be paid. Switzerland applies a tax at source on the labour income of frontier workers, while Italy avoids double taxation with the tax credit (EC framework of 730).

The border company must also consider the Italy-Switzerland double taxation convention and the New Frontier Agreement. This agreement, signed on 28 May 2007, provides that Italian border workers in Switzerland are subject to taxation in Italy, but with a tax credit for taxes already paid in Switzerland.

For example, if a border worker has a working income of CHF 50,000 in Switzerland, they will pay a 20% source tax (CHF 10,000). In Italy, you will be entitled to a tax credit of CHF 10,000 (CHF 5,000 for half your income). The border worker will thus be able to pay less tax in Italy, but will also have to consider property and other income taxes.

Another important aspect to consider is tax residency. If the frontier worker chooses to move to Besano, he/she could be considered resident in Italy and subject to taxation in Italy. In this case, you will have to pay Italian taxes on your income, including property and other income taxes.

The border agent may ask for tax advice to better understand the impacts of the trip and the options available. A tax advisor

Useful tools to protect your net income

To reduce FX leakage, compare CHF-EUR exchange options and banks for cross-border workers.

Key points

To move to Besano by border crossing, the border crossing must follow a specific procedure. The first thing to do is to submit a transfer request to the Canton of Ticino and obtain authorization for residence. This requires the completion of a specific application, which can be downloaded from the website of the Canton of Ticino. The application must be submitted by 31 December of the year preceding the year in which you wish to move.

The border crossing company must also communicate its presence in Switzerland to the Revenue Agency and apply for the tax credit (EC framework of 730). This is a tax obligation, and the border agent can ask for help from a tax advisor to complete the procedure. The notification must be made by 31 May of the year following the year in which you moved.

In addition, the border crossing company must also communicate its presence in Switzerland to the Municipality of Besano and apply for a residence permit. This requires the completion of a specific application, which can be downloaded from the website of the Municipality of Besano. The application must be submitted by 31 December of the year preceding the year in which you wish to move.

The border agent can ask for help from a tax advisor to complete the procedure. The tax advisor can help the border agent fill out the applications, calculate the contributions and communicate their presence in Switzerland to the Revenue Agency. The cost of a consultant

For a precise net salary calculation, use our tax comparator: compare take-home pay between G and B permits with all 2026 deductions.

Frequently Asked Questions

What are the new tax exemptions for Italy-Switzerland cross-border commuters from 2024?: From 1 January 2024, 'old' cross-border commuters benefit from a tax exemption of 7,500 euros. The 'new' cross-border workers, on the other hand, have a deductible of 10,000 euros. These thresholds are defined by the New Cross-Border Commuters Agreement and aim to simplify taxation for those who work in Switzerland and reside in Italy.
How does taxation for cross-border workers work after the New Cross-Border Agreement?: Switzerland levies a withholding tax on the earned income of cross-border commuters. Italy, to avoid double taxation, recognizes a tax credit. This credit is calculated on the basis of the taxes already paid in Switzerland, allowing the cross-border commuter to pay less tax in Italy, according to the provisions of the bilateral agreement.
What do I need to do to avoid double taxation by working in Switzerland and living in Italy?: To avoid double taxation, it is essential to comply with the rules of the Italy-Switzerland Convention and the New Border Agreements Agreement. It is necessary to verify the correct application of withholding taxes in Switzerland and make sure that you correctly declare your income in Italy, requesting the tax credit provided for taxes already paid.
When did the New Cross-Border Commuter Agreement between Italy and Switzerland come into force?: The New Cross-Border Commuter Agreement, signed on 23 December 2020, became effective as of 1 January 2024. This agreement updates the tax rules for cross-border workers, introducing new exemptions and simplifying the procedures for managing taxes between the two countries.
What are the risks if the rules of the New Cross-Border Commuter Agreement are not respected?: Failure to comply with the rules of the New Cross-Border Commuter Agreement may entail significant risks. The main one is double taxation, i.e. paying taxes on the same income in both Switzerland and Italy. Additional costs may also arise for the management of any disputes or for the regularization of taxes due.