If I live in Vedano Olona and work in Ticino, am I a border worker?

Yes, subject to obtaining Permit G from SEM. The definition of a frontier worker is one who resides permanently in Italy and works as a wage earner in Switzerland for a Swiss registered employer. Vedano Olona, located in border Lombardy, falls within the permitted area of residence. The permit is formal, free and necessary to work regularly.

Do I pay taxes in Switzerland and Italy?

No, thanks to the Convention of 9 December 1976. The main tax is paid in Switzerland (treatment at source). In Italy, there is a 730 with the tax credit to avoid double taxation. If the Swiss tax is lower than the IRPEF due in Italy, integrates; if it is higher, the credit is offset in the following years.

How much is the tax exemption for frontier workers?

It depends on the start date of the border activity. Those who were already border workers before 17 July 2023 have an exemption of €7,500 per year (transitional regime until 2033). Those who started later have a deductible of €10,000. This amount excludes a portion of Italian taxation income and reduces INPS contributions.

Do I need to register for the Swiss AVS or the Italian INPS?

Italian INPS. The border worker resident in Italy is registered with INPS for social security, but the employer pays AVS/AI/IPG contributions (5.3%) during the Swiss relationship. At the time of retirement, Swiss working periods are coordinated with INPS for the calculation of the combined pension.

Should I take out Swiss (LAMal) or Italian health insurance?

It depends on your needs. Permit G allows the right of option: you can choose LAMal (deductible CHF 300-2500) with low premiums if young and healthy, or stay in the Italian SSN and integrate with a private policy. Compare premiums and coverage for your situation.

Living in Vedano Olona and working in Ticino: a complete guide (cross-border guide)

Di Redazione Frontaliere Ticino · Published on 19 August 2026

View of Ticino from Vedano Olona border, Lombard hills and cross-border landscape.

Residence in Lombardy, work in Switzerland: border taxation, permits, bilateral agreements and tax deadlines 2024-2025.

Context

In a nutshell

Tax at source withheld ONLY in Switzerland for border workers with G Permit
New Frontier Agreement in force from 1 January 2024 (signed 23 December 2020)
Exemption €7,500 for old border crossers; €10,000 for new entrants after 17 July 2023
Italy-Switzerland double taxation agreement: tax credit on EC form 730

Key facts

What: Special tax regime for border workers resident in Italy, employed in Switzerland
When: Agreement in force from 1 January 2024; double taxation convention of 9 December 1976
Where: Lombardy-Ticino border; Chiasso, Brogeda, Gaggiolo passes
Who: Frontier workers with G Permit (SECO/SEM); INPS (Italy) and AFC (Switzerland) for taxation
Amount: Employee AVS/AI/IPG rate 5.3% (Swiss withholding tax); Italian personal income tax 23-43% according to income

Living in Vedano Olona and working in Ticino means becoming a border worker in the bilateral Italy-Switzerland regime. The choice to live in Lombardy while receiving a Swiss salary entails precise tax implications, governed by the Convention of 9 December 1976 and the New Frontier Agreement which entered into force on 1 January 2024. Anyone working in Switzerland with a cross-border G Permit is subject to withholding tax ONLY in Switzerland, while the tax credit in Italy (EC Framework 730) avoids double taxation during the year. This is the fundamental principle that guides all

Operational details

Taxation and bilateral agreement

The Convention between Italy and Switzerland to avoid double taxation (9 December 1976) establishes that the income from employment of a border worker is taxable in the country where the work is carried out, i.e. Switzerland. This means that the gross salary is subject to withholding tax directly in Ticino, according to the federal and cantonal rates in force. The Ticino source tax is not an additional tax, but an advance of the tax due; the border worker then recovers the surplus by means of the EC form of declaration 730 in Italy.

For the fiscal year 2024 and subsequent years, the New Agreement provides for the border worker to file a tax return in Italy (730 or Income if freelance/VAT number), reporting the Swiss income net of withholding tax. In the EC framework, it declares the tax paid in Switzerland; the Revenue Agency compares this with the Italian personal income tax due (23% up to €28,000, 35% between €28,001 and €50,000, 43% over €50,000). If the Swiss tax is lower, the frontier worker completes in Italy; if it is higher, he receives a credit (which is not converted into a direct refund for frontier workers, but is compensated with future taxes according to Italian legislation).

Contributions and social security

An often-misunderstood aspect concerns social security contributions. The border worker resident in Italy is registered with the INPS for Italian social security, not with the AVS (old-age and

Useful planning tools

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

Frequently Asked Questions

If I live in Vedano Olona and work in Ticino, am I a border worker?: Yes, subject to obtaining Permit G from SEM. The definition of a frontier worker is one who resides permanently in Italy and works as a wage earner in Switzerland for a Swiss registered employer. Vedano Olona, located in border Lombardy, falls within the permitted area of residence. The permit is formal, free and necessary to work regularly.
Do I pay taxes in Switzerland and Italy?: No, thanks to the Convention of 9 December 1976. The main tax is paid in Switzerland (treatment at source). In Italy, there is a 730 with the tax credit to avoid double taxation. If the Swiss tax is lower than the IRPEF due in Italy, integrates; if it is higher, the credit is offset in the following years.
How much is the tax exemption for frontier workers?: It depends on the start date of the border activity. Those who were already border workers before 17 July 2023 have an exemption of €7,500 per year (transitional regime until 2033). Those who started later have a deductible of €10,000. This amount excludes a portion of Italian taxation income and reduces INPS contributions.
Do I need to register for the Swiss AVS or the Italian INPS?: Italian INPS. The border worker resident in Italy is registered with INPS for social security, but the employer pays AVS/AI/IPG contributions (5.3%) during the Swiss relationship. At the time of retirement, Swiss working periods are coordinated with INPS for the calculation of the combined pension.
Should I take out Swiss (LAMal) or Italian health insurance?: It depends on your needs. Permit G allows the right of option: you can choose LAMal (deductible CHF 300-2500) with low premiums if young and healthy, or stay in the Italian SSN and integrate with a private policy. Compare premiums and coverage for your situation.