Cross-border rebates: Bern deplores the canton's stop but wants a solution (cross-border guide)

Contesto

In brief - Swiss Federal Councillor Karin Keller-Sutter met with the Minister of Economy and Finance Giancarlo Giorgetti in Rome. - The Ticino Council of State has suspended the rebates to Lombardy. - Bern and Rome agree on the need for a solution through dialogue. - What: Suspension of rebates to Lombardy. - When: After the regional announcement of the introduction of a health tax on cross-border commuters employed in Switzerland. - Where: Ticino. - Who: Ticino Council of State. - Amount: Over 50 million rebates blocked. Swiss Federal Councillor Karin Keller-Sutter met with the Minister of Economy and Finance, Giancarlo Giorgetti, in Rome today. A conversation that came a few hours after the decision of the Ticino Council of State to suspend the payment of rebates for the current year to Lombardy as a precautionary measure, a move that according to the head of the Federal Department of Finance (FDF) weighs on the current agreement on cross-border workers. In addition to international financial and tax issues and bilateral relations, the focus of the meeting remains on the revision of the double taxation agreement, which dates back to 1976. "We believe that a revision is in the interest of both states. At the same time, we are aware that other issues must be resolved first," Keller-Sutter told the media in the capital. She acknowledged that cross-border cooperation and cross-border commuters are the main challenges: "major challenges," she said, adding that the authorities of both countries intend to work closely with the regions concerned. The slowdown in Bellinzona and Bern's judgment The central theme of the discussion was the decision taken today unanimously by the Ticino government to precautionarily block the payment of rebates to Lombardy, a measure taken after the regional announcement of its intention to introduce a so-called "health tax" in the future to be paid by cross-border commuters employed in Switzerland. Cross-border commuters: the Canton of Ticino blocks over 50 million in rebates to Lombardy The Federal Council takes note of the Canton's choice, but does not agree with it. "We have taken note of the decision of the Canton of Ticino to partially withhold the compensation payments due under the 2020 cross-border commuter agreement. This move obviously puts a strain on the existing agreement with Italy," Keller-Sutter said. And he reiterated Bern's disapproval of the initiative: "It is in Switzerland's interest that the agreement on cross-border commuters is properly implemented." The councilor also focused on the knot that fuels discontent across the border: "The health contribution is not yet collected. What arouses discontent in Ticino is the possibility that it could be applied retroactively." The path of dialogue and the Lombardy-Ticino table Keller-Sutter and Giorgetti agree on the need to seek a solution through discussion. "We would like to invite the regions concerned to direct talks," explained the Federal Councillor. On this point, the Italian minister's proposal arrived: to bring together the representatives of Lombardy and Ticino around a table so that they can directly address the issue of rebates. A line that Bern intends to follow while remaining alongside the Canton: "We are aware that there are special issues and interests in border areas. We support the Canton of Ticino, but at the same time we want to find a way out," concluded the St. Gallen minister. Rebates blocked, Alfieri: "Giorgetti and Fontana should immediately withdraw the health tax. Border municipalities mocked" We at the editorial staff of VareseNews believe that good information contributes to improving everyone's life. Every day we work trying to stimulate curiosity and critical spirit. Log in or register to comment on this article. The email is required but will not be shown to visitors. 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Dettagli operativi

Implications for cross-border commuters The decision of the Ticino Council of State to suspend rebates to Lombardy has raised concerns among cross-border commuters working in Switzerland. The suspension of rebates could have a significant impact on the financial situation of these workers, as rebates represent an important part of their income. Federal Councillor Karin Keller-Sutter acknowledged that the suspension of the rebates puts a strain on the existing agreement with Italy. This could lead to further tensions between the two countries and complicate bilateral relations. ### Possible scenarios If the situation is not resolved, cross-border commuters could find themselves in a difficult financial situation. The suspension of rebates could lead to a reduction in disposable income, making it more difficult for cross-border commuters to meet their daily expenses. On the other hand, if Bern and Rome manage to find a solution through dialogue, cross-border commuters could see an improvement in their financial situation. The revision of the Double Taxation Convention could lead to greater tax fairness for cross-border commuters, reducing the risk of double taxation. ### Procedure for cross-border commuters Cross-border commuters who are in a difficult financial situation due to the suspension of rebates should consider consulting a tax advisor to assess their options. It is important that cross-border commuters are informed about their rights and the procedures to follow in order to obtain financial assistance. In addition, cross-border commuters should monitor developments in negotiations between Bern and Rome and actively participate in direct talks between Lombardy and Ticino. This could help ensure that their interests are represented and that a fair solution is found for all cross-border commuters involved. ### Useful tools For cross-border commuters who want to get more information about their financial options, a tax calculator is available that can help determine the impact of suspending rebates on their disposable income. In addition, cross-border commuters can consult a comprehensive guide on tax procedures for cross-border workers, which provides detailed information on how to manage their tax situation in Switzerland and Italy. ### Conclusion The suspension of rebates to Lombardy by the Ticino Council of State has raised concerns among cross-border workers working in Switzerland. However, Federal Councillor Karin Keller-Sutter and Minister of Economy and Finance Giancarlo Giorgetti agreed on the need for a solution through dialogue. Cross-border commuters should monitor the developments of the negotiations and actively participate in direct talks between Lombardy and Ticino to ensure that their interests are represented.

Punti chiave

Concrete actions for cross-border commuters Cross-border commuters who find themselves in a difficult financial situation due to the suspension of rebates should consider consulting a tax advisor to assess their options. It is important that cross-border commuters are informed about their rights and the procedures to follow in order to obtain financial assistance. In addition, cross-border commuters should monitor developments in negotiations between Bern and Rome and actively participate in direct talks between Lombardy and Ticino. This could help ensure that their interests are represented and that a fair solution is found for all cross-border commuters involved. ### Useful tools For cross-border commuters who want to get more information about their financial options, a tax calculator is available that can help determine the impact of suspending rebates on their disposable income. In addition, cross-border commuters can consult a comprehensive guide on tax procedures for cross-border workers, which provides detailed information on how to manage their tax situation in Switzerland and Italy. ### Conclusion The suspension of rebates to Lombardy by the Ticino Council of State has raised concerns among cross-border workers working in Switzerland. However, Federal Councillor Karin Keller-Sutter and Minister of Economy and Finance Giancarlo Giorgetti agreed on the need for a solution through dialogue. Cross-border commuters should monitor the developments of the negotiations and actively participate in direct talks between Lombardy and Ticino to ensure that their interests are represented.

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