Living in Altach and working in Switzerland: no cross-border regime for Austria
Altach does not fall under any favourable cross-border regime: §15(4) DBA-A was abolished in 2006 (published 2007). Residents of Altach working in Switzerland pay the full cantonal withholding tax, like any other source-taxed worker, with no reduction and no distance threshold.
Updated:
- Population
- 7,159
- Distance to crossing
- 5 km
- Kriessern-Mäder
- District (Bezirk)
- Feldkirch
- Vorarlberg
- Tax regime
- Full rate
- Art. 15 §1
Why there is no cross-border regime
Until 2006, Austria had its own cross-border regime (§15(4) DBA-A, SR 0.672.916.31) with a reduced withholding on income. That regime was abolished (BGBl. III Nr. 22/2007, "aufgehoben"), and since then the ordinary §15(1) rule applies: anyone working in Switzerland, including residents of Altach, is taxed at the full cantonal withholding rate in the state of work. There is no defined border zone — the rule applies to any Austrian resident, regardless of distance from the border.
No reduced cap, no day threshold
Unlike the corridor with Germany, which applies a reduced withholding on gross pay, Austria has no such reduction: the full rate always applies. And unlike the corridors with Germany or Liechtenstein, there is no non-return-day threshold to respect either — there is no cross-border status to lose. Only the general OECD short-stay rule exists (§15(2), a 183-day threshold), which covers occasional short work stays and has nothing to do with regular cross-border commuting.
How double taxation is avoided
Austria avoids double taxation via the credit method (Anrechnungsmethode, Art. 23(2)): tax paid in Switzerland is credited against the Austrian tax due on the same income, instead of the exemption method Austria otherwise uses as its general rule. In place of an individual relief on the Swiss side, Swiss cantons collectively pay Austria's treasury a compensation equal to 12.5% of the withholding-tax revenue collected under §15(1) (Final Protocol, point 4).
Telework: the 49.9% social-security threshold
For those working partly from home, a social-security (not fiscal) threshold applies: exceeding 49.9% of working time performed from your state of residence changes which state is responsible for social-security contributions (EU/EFTA multilateral framework agreement under Art. 16(1) Reg. 883/2004, in force since 2023-07-01 for both Austria and Switzerland). No specific bilateral fiscal telework agreement was found.
The direction of commuting
Unlike the corridor with Liechtenstein — today mostly Switzerland → Liechtenstein — here the flow runs the usual way: from Austria towards the Swiss cantons of employment (St. Gallen and Graubünden).
Useful reading
Other towns in the corridor
FAQ
Which tax regime applies in Altach?
Altach follows the ordinary §15(1) DBA-A rule: full cantonal withholding tax in the state of work, with no reduction. The former cross-border regime (§15(4)) has been abolished since 2006.
Does the same reduced cap as the German corridor apply here?
No. That reduced cap applies only to the corridor with Germany. Austria has no reduction to the withholding tax at all: the full cantonal rate always applies.
Is there a non-return-day threshold like Germany or Liechtenstein?
No. Since there is no cross-border status, there is no non-return-day threshold to respect. Only the general OECD short-stay rule exists (§15(2), 183 days), which is unrelated to cross-border commuting.
Does telework change anything?
On social security, yes: beyond 49.9% of working time from home, the state responsible for contributions can change (EU/EFTA framework agreement). On taxation, no specific bilateral agreement was found: always check with your canton of employment.
Estimates for guidance only. Actual taxation depends on family situation, deductions and certificates. Always check with a tax adviser or your canton of employment.