What are the IRPEF rates applied to frontier workers?

Border workers are subject to Italian personal income tax (IRPEF) at rates ranging from 23% to 28,000 euros, 35% for the range between 28,001 and 50,000 euros, and 43% for incomes above 50,000 euros. Italy avoids double taxation through the tax credit.

What changes with the new agreement from 1 January 2024?

The new agreement, signed on 23 December 2020, establishes source taxation in Switzerland for new frontier workers, with a tax credit in Italy. It introduces a €10,000 deductible for new hires, replacing the previous regime for those who started after 17 July 2023.

What is LAMal for border workers?

LAMal is Switzerland's compulsory health insurance. Border workers with a G permit have the right of option, that is, they can choose whether to sign it. Adult deductibles range from CHF 300 to CHF 2,500.

Moving to Cannobio as a border crosser: pros and cons (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 9 August 2026

Panoramic view of Cannobio on Lake Maggiore

Practical analysis on living in Cannobio working in Ticino: tax, agreements and management of daily commuting for border workers.

Context

In a nutshell

The new Frontier Agreement is in force from 1 January 2024.
Taxation takes place at source exclusively in Switzerland.
Italy applies the tax credit to avoid double taxation.
The new frontier workers enjoy a deductible of 10,000 euros.

Key facts

What: New Borderers Agreement.
When: Effective January 1, 2024.
Where: Italian-Swiss border, Canton of Ticino.
Who: Italy and Switzerland.
Amount: Tax exemption of 10,000 euros for new frontier workers.

The transfer to Cannobio for a worker serving in Canton Ticino represents a choice that profoundly affects daily tax and logistics management. With the entry into force of the new tax agreement, signed on 23 December 2020 and operational from 1 January 2024, the regulatory framework has been redefined for frontier workers. The Italian ratification law 83 of 13 June 2023 enshrined the new rules governing the cross-border employment relationship. A central element is taxation: the source tax is withheld only in Switzerland, while Italy, to avoid double taxation, recognizes a tax credit through the EC framework of model 730. For those who move today, it is essential to distinguish between their status as a 'new frontier worker' and that of 'old frontier workers' already active before 17 July 2023. The latter benefit from a transitional regime that will last until 2033,

Operational details

Analyzing the transfer to Cannobio means carefully evaluating the travel time to the workplace in Ticino. The transfrontier commutability is influenced by the road network and proximity to main border crossings. For those working in the public or private sector in Ticino, living in Cannobio offers a specific quality of life, but requires planning the daily route. Unlike those residing near major border crossings like Brogeda, the resident in Cannobio must consider lake road infrastructure. From a tax perspective, compliance with withholding tax is managed by the AFC, which applies the rates established by cantonal and federal laws. It is essential not to confuse the functions of entities like the BFS, which deals with statistics and not with setting tax rates, with those of tax administrations.

Useful planning tools

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

Key points

The procedure for those who decide to move to Cannobio requires a rigorous checklist. First, it is necessary to regularize one's position with the local municipality and notify the Swiss tax authority through the employer, which acts as a withholding agent for the source tax. It is essential to maintain accurate documentation of all contributions paid, including those related to LPP and AVS, to facilitate the correct declaration of income in Italy through the CE 730 form, thus avoiding double taxation. For those who need to manage their assets, choosing a bank that operates on both sides of the border can simplify daily transactions.

Discover Ticino job offers updated daily: 4,000+ positions from Swiss companies hiring cross-border workers.

Frequently Asked Questions

What are the IRPEF rates applied to frontier workers?: Border workers are subject to Italian personal income tax (IRPEF) at rates ranging from 23% to 28,000 euros, 35% for the range between 28,001 and 50,000 euros, and 43% for incomes above 50,000 euros. Italy avoids double taxation through the tax credit.
What changes with the new agreement from 1 January 2024?: The new agreement, signed on 23 December 2020, establishes source taxation in Switzerland for new frontier workers, with a tax credit in Italy. It introduces a €10,000 deductible for new hires, replacing the previous regime for those who started after 17 July 2023.
What is LAMal for border workers?: LAMal is Switzerland's compulsory health insurance. Border workers with a G permit have the right of option, that is, they can choose whether to sign it. Adult deductibles range from CHF 300 to CHF 2,500.